On August 7th, U.S. Senator Cynthia Lummis (R-WY) posted on X that she still intends to advance the CLARITY Act, while expressing frustration over the stalled progress in its consideration. She noted that legislators have invested too much effort into developing a comprehensive cryptocurrency regulatory system in the US to stop now, and promised to work with Senate colleagues to advance this bill.
Lummis stated:
"You all know me and you know how long and hard I have fought for this bill, so you can imagine how disappointed I am. There will be a time when I can say more, but for now let me say this: we have come too far to give up now."
The Wyoming senator linked this commitment to her view that digital asset companies need predictable federal rules to operate and grow their businesses in the United States. As chair of the Senate Banking Subcommittee on Digital Assets, Lummis has become a key figure in the Senate pushing for the CLARITY Act, shaping the course of negotiations and pressuring lawmakers to bring it to a vote.
Just two days before her latest statement, Lummis had expected senators to remain in Washington over the weekend to secure a vote on the CLARITY Act before the August recess. She recounted 11 months of negotiations that produced over 300 pages of amendments requested by Democrats, while discussions continued on provisions related to the Commodity Futures Trading Commission, law enforcement measures, and ethics rules for senior federal officials.
However, Senate Majority Leader John Thune (R-SD) confirmed on August 7th that the Senate would postpone the vote until September, after the August recess.
Consumer Protection and Law Enforcement Are Key Arguments for Lummis
Consumer protection became another key topic of Lummis's August 7th address: the senator stated that Americans need stronger safeguards against fraud and more confidence when participating in the digital economy. She linked these protections to clearer rules for legitimate business, presenting consumer safety and the growth of domestic cryptocurrency innovation as priorities that can be advanced under the same federal framework.
The senator stated:
"I will not give up, because I am deeply convinced: this industry deserves to thrive on U.S. soil with clear rules of the game; consumers deserve protection from fraud and confidence when participating in our digital economy; and law enforcement deserves the tools they need to hold bad actors accountable."
Client ownership in the event of exchange bankruptcy illustrates one of the most direct financial safeguards proposed for people storing digital assets with intermediaries. The bill would treat applicable client cash and cryptocurrency as client property, require its segregation from company assets, and address ownership disputes similar to those revealed by Celsius, where at the time of the bankruptcy filing, approximately $4.2 billion was held in about 600,000 Earn accounts.
Bipartisan Progress Meets the Senate's Dragging Schedule
Congress has already recorded substantial progress on this bill with bipartisan support after months of negotiations on the structure of a federal digital assets market. On May 14th, the Senate Banking Committee approved bill H.R. 3633 ("The Digital Asset Market Transparency Act of 2025") with a vote of 15 to 9, moving the bill beyond the committee stage.
Lummis noted:
"The CLARITY Act is the only way we can achieve these goals. The status quo does not work at any level, and I will not stop fighting until we fix this broken system."
More than a year after the House of Representatives approved the bill, Senate action remains key to whether comprehensive federal market structure standards become law. The lack of a clear regulatory framework affects digital asset classification, registration requirements, federal oversight, as well as the operating conditions for exchanges, developers, asset managers, and financial institutions.
Lummis previously warned that if lawmakers do not pass the bill during the current period, the Congressional consideration process will drag on for a much longer time. She argued that the next real opportunity might not arise until 2030, potentially forcing consumers, developers, exchanges, and law enforcement to operate under the existing federal framework for years.
Updated CLARITY Act Draft Indicates Work Continued Until the Latest Halt
Legislative work continued until the onset of the latest slowdown, indicating senators were still finalizing the concept shortly before Lummis posted her message on August 7th. On July 22nd, Lummis published an updated text of the CLARITY Act, consolidating the work of the Senate Banking and Agriculture Committees and incorporating select elements from Senate market structure initiatives into the revised draft.
The revised text also underscores Lummis's central role in the legislative work, which extends beyond public calls for Congressional action. In her latest address, she aligns this work with the three priorities she continues to emphasize: creating workable rules for legitimate cryptocurrency business, protecting Americans participating in digital markets, and providing authorities with the tools to curb fraud and other illegal activity.
Lummis concluded:
"I will continue to work with my colleagues to make this happen — this fight is far from over."
Now that the updated bill text is public and committee work is complete, attention shifts to whether Lummis and other senators can translate months of negotiations into broader Congressional support when the Senate reconvenes in September.
