{"id":9114,"date":"2026-05-15T08:52:03","date_gmt":"2026-05-15T08:52:03","guid":{"rendered":"https:\/\/cryptonews.uk.com\/?p=9114"},"modified":"2026-05-15T08:52:03","modified_gmt":"2026-05-15T08:52:03","slug":"how-clarity-act-survived-a-chaotic-senate-markup-after-warren-banks-and-democrats-tried-to-slow-it-down","status":"publish","type":"post","link":"https:\/\/cryptonews.uk.com\/?p=9114","title":{"rendered":"How CLARITY Act survived a chaotic Senate markup after Warren, Banks and Democrats tried to slow it down"},"content":{"rendered":"

<\/p>\n

\n
Make<\/span> \"CryptoSlate\"CryptoSlate CryptoSlate<\/span> <\/span> preferred on<\/span> \"Google\"Google <\/div>\n

Inside a packed Senate hearing room on May 14, the air was heavy with the tension of a high-stakes jurisdictional brawl on the CLARITY Act.<\/p>\n

What was intended to be a routine legislative markup became a grueling \u201ctick-tock\u201d of procedural maneuvering, personal barbs, and a desperate search for a bipartisan middle ground.<\/p>\n

Ultimately, the bill cleared the Senate Banking Committee in a 15-9 vote after a gauntlet of last-minute objections.<\/p>\n

However, the path to that victory was defined by a series of sharp clashes between pro-crypto Republicans and a Democratic wing led by Senator Elizabeth Warren, who challenged the hearing\u2019s \u201cgood governance\u201d framing within the first hour.<\/p>\n

The Clarity Act \u2018good governance\u2019 gambit<\/h2>\n

The morning began with Chairman Tim Scott attempting to set a tone of orderly progress.<\/p>\n

Opening the hearing, Scott framed the CLARITY Act as a common-sense modernization of \u201coutdated rules\u201d that would prevent American innovation from fleeing to overseas markets.<\/p>\n

Scott said:<\/p>\n

\n

\u201cSafeguarding our national security means closing the doors that criminals, terrorists and hostile regimes have tried to exploit. This bill strengthens anti-money laundering and sanctions rules and gives law enforcement better tools to go after bad actions. None of this happened overnight.\u201d<\/p>\n<\/blockquote>\n

Scott\u2019s strategy was clear: position the bill as a shield for the American Dream. He even invoked his personal history, mentioning his mother\u2019s struggle as a single parent to argue that financial innovation should be within reach for every family.<\/p>\n

By the time he concluded that \u201cthis is what good governance looks like today,\u201d the Republican side of the dais seemed confident that the year of \u201cgood-faith negotiations\u201d would lead to a smooth afternoon.<\/p>\n

Warren\u2019s Clarity Act detonation<\/h2>\n

However, that confidence was short-lived as Ranking Member Warren took the floor and immediately pivoted from Scott\u2019s talk of innovation to the economic anxieties of the kitchen table.<\/p>\n

In her opening statement, she criticized the prioritization of a \u201cpro-industry crypto bill\u201d while American families struggled with rising grocery, health care, and utility costs.<\/p>\n

Warrent said:<\/p>\n

\n

\u201cRight now, American families across this country are struggling. We could be working right now on changes in the law that would help bring down prices and help unrig our economy\u2026 Instead of that, we\u2019re spending our time working on a bill written by the crypto industry for the crypto industry.\u201d<\/p>\n<\/blockquote>\n

Warren cited a CoinDesk survey suggesting that just 1% of voters ranked cryptocurrency as their top concern. She also accused the Republican majority of ignoring a \u201ccrypto grift\u201d involving the highest levels of government.<\/p>\n

Warren specifically highlighted that President Donald Trump and his family have reportedly amassed $1.4 billion in gains from crypto deals since taking office last year.<\/p>\n

\u201cNo President\u2014and no one in Congress\u2014should be allowed to profit from crypto at the same time that they are enforcing rules to regulate it,\u201d Warren declared, setting the stage for a day of rejected ethics amendments.<\/p>\n

The battle of the blocked amendments<\/h2>\n

As the hearing moved into the \u201cmarkup\u201d phase, the atmosphere turned clinical and contentious.<\/p>\n

Chairman Scott utilized his procedural authority to rule several Democratic amendments out of order, citing \u201cprocedural requirements.\u201d<\/p>\n

This move incensed the minority. Senator Jack Reed countered that the very \u201cdefinition of working together at a markup is allowing amendments to be called up and voted upon.\u201d<\/p>\n

The room watched as a series of Democratic amendment priorities were systematically dismantled:<\/p>\n

    \n
  • National Security:<\/strong> Warren introduced an amendment to close a \u201ctokenization loophole\u201d and to bolster the Treasury Department’s sanctions authority to target DeFi platforms like Tornado Cash. Senator Cynthia Lummis countered that the bill already addressed these concerns. The amendment failed in an 11-13 party-line vote.<\/li>\n
  • The \u2018Epstein\u2019 Records:<\/strong> In one of the afternoon’s more bizarre exchanges, Warren proposed requiring regulators to publish bank records tied to suspicions around Jeffrey Epstein and his co-conspirators. Senator John Kennedy was unmoved, questioning how the records were germane to crypto market structure. The vote again split 11-13.<\/li>\n
  • DeFi Liability:<\/strong> Senator Catherine Cortez Masto expressed concern that the bill would make it harder for law enforcement to capture criminals. Her amendment to narrow liability protections for DeFi developers was defeated 11-13.<\/li>\n
  • Retirement Accounts:<\/b> A Warren amendment to restrict crypto assets in certain retirement portfolios.<\/li>\n<\/ul>\n

    The recurring 11-13 tally became the heartbeat of the hearing, serving as a constant reminder of the razor-thin partisan divide.<\/p>\n

    \"\"<\/p>\n

    Bankers and the Clarity Act stablecoin yield threat<\/h2>\n

    While the political fireworks dominated the headlines, a more technical and perhaps more dangerous threat to the bill\u2019s survival emerged from the traditional financial sector.<\/p>\n

    A coalition of the nation\u2019s most powerful banking groups, including the American Bankers Association and the Bank Policy Institute, issued a joint statement after the markup, warning of \u201csignificant flaws\u201d in the current draft.<\/p>\n

    \n
    \n
    CryptoSlate Daily Brief<\/span><\/p>\n

    Daily signals, zero noise.<\/h3>\n

    Market-moving headlines and context delivered every morning in one tight read.<\/p>\n

    5-minute digest<\/span> 100k+ readers<\/span><\/p>\n<\/div>\n

    \n

    Free. No spam. Unsubscribe any time.<\/p>\n

    Whoops, looks like there was a problem. Please try again.<\/span><\/p>\n

    You\u2019re subscribed. Welcome aboard.<\/span><\/p>\n<\/div>\n<\/div>\n<\/div>\n

    The banking lobby\u2019s concern centered on \u201cyield.\u201d They argued that without tighter prohibitions on interest-like rewards for holding stablecoins, digital assets would cannibalize traditional bank deposits. This, they warned, would starve community banks of the capital needed for local lending.<\/p>\n

    The groups stated:<\/p>\n

    \n

    \u201cWithout the necessary guardrails, stablecoin offerings are expected to draw away bank deposits and threaten local lending and economic activity across the country.\u201d<\/p>\n<\/blockquote>\n

    Notably, Senators Reed and Smith had attempted to introduce a bank-supported amendment to restrict these yields.<\/p>\n

    However, Chairman Scott refused to hold a vote on the provision. Market observers suggested the refusal was a tactical move to avoid a \u201cpolitical liability\u201d for Republicans who did not want to be seen as siding with big banks over crypto innovators.<\/p>\n

    The bipartisan escape hatch<\/h2>\n

    Despite the procedural wreckage and the banking industry\u2019s warnings, Republicans managed to execute a tactical \u201cpeel-off\u201d of Democratic votes. Senators Ruben Gallego and Angela Alsobrooks joined all 13 committee Republicans to advance the bill.<\/p>\n

    The victory, however, came with a heavy dose of skepticism.<\/p>\n

    Gallego made it clear that his \u201cyes\u201d vote was meant to keep the CLARITY Act process alive and not an endorsement of the final product.<\/p>\n

    He stated that he reserved the right to flip his vote on the Senate floor if the final ethics agreement regarding the President\u2019s crypto holdings was not strengthened.<\/p>\n

    The \u201ccrypto-champion\u201d of the committee, Senator Cynthia Lummis, spent much of the afternoon playing the role of the diplomat. She praised the \u201cexpertise\u201d of Democrats like Cortez Masto and the \u201chard work\u201d of Senator Mark Warner.<\/p>\n

    Lummis framed the CLARITY Act as a tool for humanitarian good, arguing that Bitcoin allows vulnerable people, such as those in abusive marriages or escaping oppressive regimes, to carry their wealth \u201cin their head\u201d via memorized seed phrases.<\/p>\n

    Senate floor fight looms over CLARITY Act<\/h2>\n

    The 15-9 vote successfully moves the Digital Asset Market Clarity Act to the Senate floor, but the \u201ctick-tock\u201d of the day suggests a rocky future.<\/p>\n

    Senator Mark Warner, who described the last few months as \u201ccrypto hell,\u201d notably declined to vote for the bill’s advancement despite his extensive work on the text.<\/p>\n

    His absence from the \u201cyes\u201d column signals that the 60-vote threshold required to overcome a filibuster in the full Senate remains a monumental hurdle.<\/p>\n

    As the hearing adjourned, the partisan lines were more deeply etched than when it began.<\/p>\n

    For the crypto industry, the day was a victory of survival; for the critics, it was a demonstration of how far the bill remains from a consensus that can satisfy both the GOP’s \u201ccrypto capital\u201d ambitions and the Democratic caucus’s consumer-protection demands.<\/p>\n<\/div>\n

    Banking,Community,Featured,Legal,Legislation,Market,Politics,Regulation,CLARITY Act,elizabeth warrenCLARITY Act,elizabeth warren#CLARITY #Act #survived #chaotic #Senate #markup #Warren #Banks #Democrats #slow1778835123<\/p>\n","protected":false},"excerpt":{"rendered":"

    Make CryptoSlate preferred on Inside a packed Senate hearing room on May 14, the air was heavy with the tension of a high-stakes jurisdictional brawl on the CLARITY Act. What was intended to be a routine legislative markup became a grueling \u201ctick-tock\u201d of procedural maneuvering, personal barbs, and a desperate search for a bipartisan middle<\/p>\n","protected":false},"author":1,"featured_media":9115,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[8],"tags":[940,47,4498,939,385,2245,4442,4349,78,2345,4497,2529],"class_list":{"0":"post-9114","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-ethereum","8":"tag-act","9":"tag-banks","10":"tag-chaotic","11":"tag-clarity","12":"tag-clarity-act","13":"tag-democrats","14":"tag-elizabeth-warren","15":"tag-markup","16":"tag-senate","17":"tag-slow","18":"tag-survived","19":"tag-warren"},"yoast_head":"\nHow CLARITY Act survived a chaotic Senate markup after Warren, Banks and Democrats tried to slow it down - Crypto News: Latest Cryptocurrency News and Analysis<\/title>\n<meta name=\"description\" content=\"Clarity Act cleared on Thursday, marking a milestone for the industry despite lingering threats from the banking lobby and Senate leadership.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/cryptonews.uk.com\/?p=9114\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"How CLARITY Act survived a chaotic Senate markup after Warren, Banks and Democrats tried to slow it down\" \/>\n<meta property=\"og:description\" content=\"Clarity Act cleared on Thursday, marking a milestone for the industry despite lingering threats from the banking lobby and Senate leadership.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/cryptonews.uk.com\/?p=9114\" \/>\n<meta property=\"og:site_name\" content=\"Crypto News: Latest Cryptocurrency News and Analysis\" \/>\n<meta property=\"article:published_time\" content=\"2026-05-15T08:52:03+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/cryptonews.uk.com\/wp-content\/uploads\/2026\/05\/warren-scott-clarity.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"1280\" \/>\n\t<meta property=\"og:image:height\" content=\"720\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"\u884c\u653f\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"\u884c\u653f\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"6 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"WebPage\",\"@id\":\"https:\/\/cryptonews.uk.com\/?p=9114\",\"url\":\"https:\/\/cryptonews.uk.com\/?p=9114\",\"name\":\"How CLARITY Act survived a chaotic Senate markup after Warren, Banks and Democrats tried to slow it down - Crypto News: Latest Cryptocurrency News and Analysis\",\"isPartOf\":{\"@id\":\"https:\/\/cryptonews.uk.com\/#website\"},\"primaryImageOfPage\":{\"@id\":\"https:\/\/cryptonews.uk.com\/?p=9114#primaryimage\"},\"image\":{\"@id\":\"https:\/\/cryptonews.uk.com\/?p=9114#primaryimage\"},\"thumbnailUrl\":\"https:\/\/cryptonews.uk.com\/wp-content\/uploads\/2026\/05\/warren-scott-clarity.jpg\",\"datePublished\":\"2026-05-15T08:52:03+00:00\",\"author\":{\"@id\":\"https:\/\/cryptonews.uk.com\/#\/schema\/person\/822778c5844e0d16d43dce6630f4f1bf\"},\"description\":\"Clarity Act cleared on Thursday, marking a milestone for the industry despite lingering threats from the banking lobby and Senate leadership.\",\"breadcrumb\":{\"@id\":\"https:\/\/cryptonews.uk.com\/?p=9114#breadcrumb\"},\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\/\/cryptonews.uk.com\/?p=9114\"]}]},{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/cryptonews.uk.com\/?p=9114#primaryimage\",\"url\":\"https:\/\/cryptonews.uk.com\/wp-content\/uploads\/2026\/05\/warren-scott-clarity.jpg\",\"contentUrl\":\"https:\/\/cryptonews.uk.com\/wp-content\/uploads\/2026\/05\/warren-scott-clarity.jpg\",\"width\":1280,\"height\":720},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\/\/cryptonews.uk.com\/?p=9114#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"Home\",\"item\":\"https:\/\/cryptonews.uk.com\/\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"How CLARITY Act survived a chaotic Senate markup after Warren, Banks and Democrats tried to slow it down\"}]},{\"@type\":\"WebSite\",\"@id\":\"https:\/\/cryptonews.uk.com\/#website\",\"url\":\"https:\/\/cryptonews.uk.com\/\",\"name\":\"Crypto News: Latest Cryptocurrency News and Analysis\",\"description\":\"Latest Crypto & Bitcoin News\",\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\/\/cryptonews.uk.com\/?s={search_term_string}\"},\"query-input\":{\"@type\":\"PropertyValueSpecification\",\"valueRequired\":true,\"valueName\":\"search_term_string\"}}],\"inLanguage\":\"en-US\"},{\"@type\":\"Person\",\"@id\":\"https:\/\/cryptonews.uk.com\/#\/schema\/person\/822778c5844e0d16d43dce6630f4f1bf\",\"name\":\"\u884c\u653f\",\"image\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/cryptonews.uk.com\/#\/schema\/person\/image\/\",\"url\":\"https:\/\/secure.gravatar.com\/avatar\/e4c2d23409b09e004cef3facbe677e95c5401f9e29680f3a311e0130c5748089?s=96&d=mm&r=g\",\"contentUrl\":\"https:\/\/secure.gravatar.com\/avatar\/e4c2d23409b09e004cef3facbe677e95c5401f9e29680f3a311e0130c5748089?s=96&d=mm&r=g\",\"caption\":\"\u884c\u653f\"},\"sameAs\":[\"http:\/\/demo3.aiwalls.com\/coinbase\"],\"url\":\"https:\/\/cryptonews.uk.com\/?author=1\"}]}<\/script>\n<!-- \/ Yoast SEO Premium plugin. -->","yoast_head_json":{"title":"How CLARITY Act survived a chaotic Senate markup after Warren, Banks and Democrats tried to slow it down - Crypto News: Latest Cryptocurrency News and Analysis","description":"Clarity Act cleared on Thursday, marking a milestone for the industry despite lingering threats from the banking lobby and Senate leadership.","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/cryptonews.uk.com\/?p=9114","og_locale":"en_US","og_type":"article","og_title":"How CLARITY Act survived a chaotic Senate markup after Warren, Banks and Democrats tried to slow it down","og_description":"Clarity Act cleared on Thursday, marking a milestone for the industry despite lingering threats from the banking lobby and Senate leadership.","og_url":"https:\/\/cryptonews.uk.com\/?p=9114","og_site_name":"Crypto News: Latest Cryptocurrency News and Analysis","article_published_time":"2026-05-15T08:52:03+00:00","og_image":[{"width":1280,"height":720,"url":"https:\/\/cryptonews.uk.com\/wp-content\/uploads\/2026\/05\/warren-scott-clarity.jpg","type":"image\/jpeg"}],"author":"\u884c\u653f","twitter_card":"summary_large_image","twitter_misc":{"Written by":"\u884c\u653f","Est. reading time":"6 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"WebPage","@id":"https:\/\/cryptonews.uk.com\/?p=9114","url":"https:\/\/cryptonews.uk.com\/?p=9114","name":"How CLARITY Act survived a chaotic Senate markup after Warren, Banks and Democrats tried to slow it down - Crypto News: Latest Cryptocurrency News and Analysis","isPartOf":{"@id":"https:\/\/cryptonews.uk.com\/#website"},"primaryImageOfPage":{"@id":"https:\/\/cryptonews.uk.com\/?p=9114#primaryimage"},"image":{"@id":"https:\/\/cryptonews.uk.com\/?p=9114#primaryimage"},"thumbnailUrl":"https:\/\/cryptonews.uk.com\/wp-content\/uploads\/2026\/05\/warren-scott-clarity.jpg","datePublished":"2026-05-15T08:52:03+00:00","author":{"@id":"https:\/\/cryptonews.uk.com\/#\/schema\/person\/822778c5844e0d16d43dce6630f4f1bf"},"description":"Clarity Act cleared on Thursday, marking a milestone for the industry despite lingering threats from the banking lobby and Senate leadership.","breadcrumb":{"@id":"https:\/\/cryptonews.uk.com\/?p=9114#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/cryptonews.uk.com\/?p=9114"]}]},{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/cryptonews.uk.com\/?p=9114#primaryimage","url":"https:\/\/cryptonews.uk.com\/wp-content\/uploads\/2026\/05\/warren-scott-clarity.jpg","contentUrl":"https:\/\/cryptonews.uk.com\/wp-content\/uploads\/2026\/05\/warren-scott-clarity.jpg","width":1280,"height":720},{"@type":"BreadcrumbList","@id":"https:\/\/cryptonews.uk.com\/?p=9114#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/cryptonews.uk.com\/"},{"@type":"ListItem","position":2,"name":"How CLARITY Act survived a chaotic Senate markup after Warren, Banks and Democrats tried to slow it down"}]},{"@type":"WebSite","@id":"https:\/\/cryptonews.uk.com\/#website","url":"https:\/\/cryptonews.uk.com\/","name":"Crypto News: Latest Cryptocurrency News and Analysis","description":"Latest Crypto & Bitcoin News","potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/cryptonews.uk.com\/?s={search_term_string}"},"query-input":{"@type":"PropertyValueSpecification","valueRequired":true,"valueName":"search_term_string"}}],"inLanguage":"en-US"},{"@type":"Person","@id":"https:\/\/cryptonews.uk.com\/#\/schema\/person\/822778c5844e0d16d43dce6630f4f1bf","name":"\u884c\u653f","image":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/cryptonews.uk.com\/#\/schema\/person\/image\/","url":"https:\/\/secure.gravatar.com\/avatar\/e4c2d23409b09e004cef3facbe677e95c5401f9e29680f3a311e0130c5748089?s=96&d=mm&r=g","contentUrl":"https:\/\/secure.gravatar.com\/avatar\/e4c2d23409b09e004cef3facbe677e95c5401f9e29680f3a311e0130c5748089?s=96&d=mm&r=g","caption":"\u884c\u653f"},"sameAs":["http:\/\/demo3.aiwalls.com\/coinbase"],"url":"https:\/\/cryptonews.uk.com\/?author=1"}]}},"_links":{"self":[{"href":"https:\/\/cryptonews.uk.com\/index.php?rest_route=\/wp\/v2\/posts\/9114","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/cryptonews.uk.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/cryptonews.uk.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/cryptonews.uk.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/cryptonews.uk.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=9114"}],"version-history":[{"count":0,"href":"https:\/\/cryptonews.uk.com\/index.php?rest_route=\/wp\/v2\/posts\/9114\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/cryptonews.uk.com\/index.php?rest_route=\/wp\/v2\/media\/9115"}],"wp:attachment":[{"href":"https:\/\/cryptonews.uk.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=9114"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/cryptonews.uk.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=9114"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/cryptonews.uk.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=9114"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}