Republican Senator Thom Tillis announced he will push the Senate Banking Committee to schedule a markup vote on the stalled crypto market structure bill, signaling a potential breakthrough after months of delays. Speaking to reporters on Wednesday, Tillis said the bill’s text has made sufficient progress and that it is time for lawmakers to move forward.
Background on the CLARITY Act and Senate version
The Senate’s crypto market structure bill aims to clarify how the Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC) would oversee digital assets. The House passed its version, the CLARITY Act, in July 2025, but the Senate’s counterpart has faced repeated delays as lawmakers and lobbyists negotiate key provisions.
Also read: Ethics standoff threatens Senate progress on CLARITY Act crypto bill ahead of Thursday markup
Tillis told reporters he would ask Senate Banking Committee Chairman Tim Scott to schedule a markup when the Senate returns from recess on May 11. “I think that we’ve made a lot of progress,” Tillis said. “But at the end of the day, until you have a forcing mechanism of a markup, everybody that really doesn’t want it done is going to have one more thing that they want to talk about.”
Key sticking points: stablecoin yields and ethics
The bill’s markup was delayed in January after major crypto lobbyist Coinbase withdrew its support over a provision that would ban crypto exchanges from paying stablecoin yields. Banking lobbyists have argued that the provision closes a loophole in the GENIUS Act, which prohibits stablecoin issuers from paying yield. Tillis indicated that while some concerns have been addressed, further negotiation may be needed. “I believe we’ve heard the concerns [and] addressed a lot of the concerns of the bank,” he said. “There may be a few more that we can get there if they want to come and work in good faith.”
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Another contentious issue involves ethics provisions. On Monday, Tillis backed a demand from Senate Banking Democrats, stating he would not support the bill unless it includes language limiting how government officials can use and promote crypto. “There has to be ethics language in the bill before it leaves the Senate, or I’ll go from one of the people working on negotiating it to voting against it,” Tillis said.
Software developer protections under scrutiny
Politico reported on Tuesday that Tillis said the bill must address law enforcement concerns related to a provision that would protect crypto software developers from prosecution if others commit illegal activity on their platforms. Tillis told reporters he was “generally in support” of progress made by Senator Cynthia Lummis on the provision, though details remain under negotiation.
What this means for the crypto industry
The advancement of the Senate’s crypto market structure bill is critical for the industry, as it would establish clear regulatory frameworks for digital assets, potentially reducing legal uncertainty for businesses and investors. However, the ongoing disputes over stablecoin yields and ethics reflect the broader tensions between crypto advocates and traditional banking interests. If the bill passes, it could set a precedent for how the US regulates digital assets, impacting everything from exchange operations to DeFi platforms.
Conclusion
Tillis’s push for a markup vote represents a significant step forward for the stalled legislation. With the Senate returning in May, the coming weeks will be important for determining whether the bill can overcome remaining obstacles. The outcome will have lasting implications for the US crypto regulatory environment.
FAQs
Q1: What is the CLARITY Act?
The CLARITY Act is a House-passed bill that aims to clarify the regulatory roles of the SEC and CFTC over digital assets. The Senate is working on its own version.
Q2: Why was the Senate bill delayed?
The bill was delayed after Coinbase withdrew support over a provision banning crypto exchanges from paying stablecoin yields, and disagreements over ethics and software developer protections.
Q3: When might the Senate vote on the bill?
Senator Tillis is pushing for a markup vote after the Senate returns from recess on May 11, though no date has been set.
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