The U.S. Senate Agriculture Committee voted 12–11 on Thursday, Jan 29 to advance its version of the CLARITY Act, pushing a major crypto market structure bill one step further through Congress.
Summary
The Senate Agriculture Committee advanced the CLARITY Act along party lines.
Democrats raised ethics and DeFi concerns during the markup.
The bill now awaits action from the Senate Banking Committee.
The Digital Commodity Intermediaries Act cleared the committee along party lines, according to American media outlets, with all Republicans voting in favor and all Democrats opposed.
The bill seeks to give the Commodity Futures Trading Commission clear authority over digital commodities, marking the first time a crypto market structure proposal has moved beyond a Senate committee.
Committee vote highlights split over ethics and DeFi
As first reported by Fortune, the vote exposed sharp divisions over ethics provisions and the treatment of decentralized finance. Democratic senators criticized Republicans for bringing the bill forward without bipartisan backing, arguing that it lacks safeguards to prevent conflicts of interest by public officials with crypto holdings.
Several lawmakers pointed directly to President Donald Trump’s growing involvement in blockchain-related ventures. In comments shared during the hearing, Sen. Cory Booker of New Jersey said the administration’s financial ties to the industry had complicated negotiations and weakened trust around the bill’s framework.
An amendment that would have added an ethics provision failed along party lines. Advocacy group Public Citizen later described the legislation as the “gryfto” bill, a reference to concerns that politicians could personally benefit from the industry under the proposed rules.
Despite the opposition, the bill’s passage through the Agriculture Committee is viewed as a milestone. It reflects the crypto industry’s rising influence in Washington, where it is preparing to deploy nearly $200 million in campaign spending ahead of the 2026 midterm elections.
What happens next for the CLARITY Act
The Agriculture Committee’s action does not clear the bill for a full Senate vote. The Senate Banking Committee must still approve its own version before lawmakers can reconcile the two measures. That process faces hurdles, including unresolved disputes over stablecoin yields and the role of banks in crypto markets.
The CLARITY Act has already cleared the House, where it passed in July, but its path in the Senate has been less smooth. Earlier this month, a clash between the banking lobby and crypto firms over yield-bearing stablecoins led to reports of Coinbase CEO Brian Armstrong withdrawing support, prompting the Banking Committee to delay its markup.
Industry funding continues to shape the debate. Fairshake, the leading crypto-aligned super PAC network, disclosed this week that it holds $193 million in cash, including fresh contributions from Coinbase, Ripple, and Andreessen Horowitz.
Republican leaders struck an optimistic tone following the vote. House Financial Services Committee Chairman French Hill said the committee’s action moves Congress closer to delivering a bipartisan market structure framework, while Agriculture Committee Chairman Glenn “GT” Thompson called the markup a key step toward final legislation.
Even so, without Banking Committee approval and cross-party agreement, the bill’s future remains uncertain as lawmakers attempt to bridge political and regulatory gaps.
