White House crypto advisor Patrick Witt says the CLARITY Act still has a path through the Senate but warned that lawmakers may be running out of time to pass landmark legislation.
What’s Next For the CLARITY Act?
Witt said in an interview with Semafor on Sept.10 that he remains optimistic about the Senate’s Sept. 15 procedural vote.
“I feel very good about where Republicans are,” Witt said, adding that support could be close to all 53 Republican senators.
Negotiations continue over stablecoin rewards, crypto ethics rules and law-enforcement concerns.
Witt said the current compromise prohibits passive “idle yield” while allowing rewards linked to customer activity.
President Trump has also agreed to restrictions preventing federal officials from issuing or sponsoring digital assets, though Democrats are seeking additional ethics safeguards.
Why Is the Political Window Shrinking?
The bigger risk may be time.
Witt said passing major legislation becomes significantly harder after the midterm elections, particularly during a lame-duck Congress or later in a presidential administration.
“We have the moment right now,” he said. “The areas of difference between Republicans and Democrats are so narrow at this point.”
Sen. Cynthia Lummis (R-Wyo.) has warned that if market-structure legislation fails this year, another major opportunity may not emerge for years.
Witt declined to endorse a specific timeline but agreed the path ahead would depend heavily on the midterms and the 2028 presidential election.
He added that if the bill fails, the SEC and CFTC could pursue aggressive rulemaking, including an SEC innovation exemption and coordinated crypto regulations across the two agencies.
“Either way there’s clarity coming in a sense,” Witt said.
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