Congress Schedules CLARITY Act Hearing For July 17

The House Financial Services Committee has set a date for a hearing on the Digital Asset Market Clarity Act (H.R. 3633) on July 17 in New York. This act, introduced by House Financial Services Chairman French Hill on May 29, 2025, aims to establish a regulatory framework for digital assets in the United States. The key feature of the CLARITY Act is the division of jurisdiction between the Commodity Futures Trading Commission (CFTC) and the Securities and Exchange Commission (SEC). The CFTC would oversee spot markets for “digital commodities” like Bitcoin, while the SEC would regulate digital assets that qualify as investment contracts.

The lack of clear regulatory boundaries has been a major challenge for the industry, leading to overlapping enforcement actions and hindering innovation. The CLARITY Act seeks to resolve this issue and create a more conducive environment for digital asset development in the US. The bill has gained momentum in the 119th Congress, with the Senate Banking Committee approving it by a 15-9 vote on May 14.

The path to passing the CLARITY Act is not without obstacles. It must clear a 60-vote threshold in the Senate, reconcile with the Senate Agriculture Committee’s version, and align with the House-passed text before reaching the president’s desk. The House has shown support for advancing the CLARITY Act alongside other related provisions, indicating a strong legislative push for comprehensive reform.

Despite some initial disagreements over specific language in the bill, the industry has largely united in support of the CLARITY Act. More than 100 crypto firms have urged the Senate to move forward with the legislation. Galaxy Research predicts a high likelihood of the bill becoming law in 2026, with a potential presidential signature by early August.

In a related development, the Senate recently passed the 21st Century ROAD to Housing Act, which includes a provision banning the Federal Reserve from issuing a central bank digital currency (CBDC) until the end of 2030. This measure aligns with the House’s Anti-CBDC stance and is expected to be swiftly approved upon the House’s return from recess.

With broad bipartisan support and backing from the White House, the CBDC ban is on track to be included in essential housing reform legislation. These legislative moves signal a significant step towards clarifying the regulatory landscape for digital assets and shaping the future of the digital asset market in the United States.