Crypto Regulation Heads to a Crucial Senate Vote as CLARITY Act Advances

The CLARITY Act would assign digital assets that act like commodities (e.g., BTC and ETH) to CFTC oversight, while securities-like tokens stay under the SEC, with new protections for DeFi developers. After a January delay over a blanket stablecoin yield ban, a revised compromise boosted momentum ahead of a May 14 Senate Banking Committee vote, signaling a potential regulatory framework for crypto and possibly unlocking broader institutional participation, though bipartisan support remains uncertain amid midterm politics and opposition from some lawmakers.