CLARITY Act Poised for Major Breakthrough—What Could the May 14 Markup Mean for Your Future?

So here we are, folks — the US Senate Banking Committee is gearing up for a pivotal vote on the CLARITY Act this Thursday, and the crypto world can hardly keep its cool. After months of waiting and a few dramatic plot twists (remember when Coinbase hit pause over concerns like legal protections for open source developers and stablecoin yield bans?), it looks like things might finally get rolling. But seriously, how many regulatory bills does it take to make sense of the crypto chaos? As Coinbase’s own legal eagle aptly put it, “It’s on like Donkey Kong,” signaling a big leap toward clearer rules that could anchor innovation stateside instead of pushing talent and tech offshore. Will this be the breakthrough the crypto industry has been itching for, or just another episode in the saga of regulatory red tape? Only time will tell — but one thing’s for sure, the stakes have never been higher. LEARN MORE.

The US CLARITY Act, which aims to provide the US crypto industry with greater regulatory clarity, is set to be voted on by the Senate Banking Committee on Thursday.

On Friday, Senate Banking Committee chair Tim Scott confirmed the legislation will go to a vote on Thursday, triggering a strong reaction across the crypto industry, which has been waiting months for a new markup date.

The bill, introduced in July 2025, was expected to progress earlier this year, but stalled in January after Coinbase withdrew its support for the legislation, citing several concerns, including a lack of legal protections for open source software developers, a prohibition on stablecoin yield, and decentralized finance (DeFi) regulations.

CLARITY Act is “on like Donkey Kong”: Coinbase exec

“It’s on like Donkey Kong,” Coinbase chief legal officer Paul Grewel said in an X post on Friday, following the announcement. Meanwhile, Coinbase chief policy officer Faryar Shirzad said in an X post that it was a “big step forward” and the legislation is essential “for protecting consumers, supporting innovation, and ensuring this technology develops in the United States rather than offshore.”

Source: Faryar Shirzad

Uncertainty around crypto regulation during the Joe Biden administration, with crypto skeptic Gary Gensler leading the US Securities and Exchange Commission (SEC), was linked to reports of crypto firms relocating offshore to more crypto-friendly jurisdictions. Industry participants argued it was harming innovation in the US.

US Senator and pro-crypto advocate Cynthia Lummis said in an X post, “Let’s pass the Clarity Act out of the Banking Committee on Thursday!”

Industry execs had predicted the markup would take place

It comes just days after Kara Calvert, the vice president of US policy at crypto exchange Coinbase, told attendees at the Consensus 2026 conference that she expected “a markup next week.”

Calvert said that the bill needs at least 60 votes to pass in the Senate and that the CLARITY bill needs bipartisan support to become law.

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