Trump and senators apply pressure at the same time—CLARITY Act pushes to sprint through the August recess, with law enforcement stepping up on two fronts

The 《CLARITY Act》 enters a key sprint before the August congressional recess, with senators and the White House applying pressure in tandem, and federal law-enforcement units also publicly indicating support. However, within the four-week window before the legislative text is locked in, two major core issues have yet to be resolved.
(Background recap: The CLARITY Act successfully passed through the Senate Banking Committee)
(Background addition: Thom Tillis hinted at pushing the bill into review)

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• Senator Lummis: administrative rules aren’t enough—only Congress can legislate
• Law-enforcement units go on two fronts: a second federal organization publicly supports
• Four-week sprint window: the two major fatal disagreements have not been broken
• Industry outlook: optimism and caution coexist

U.S. cryptocurrency regulatory legislation is counting down. Late on July 13, Trump posted on Truth Social urging senators to pass the 《CLARITY Act》 as soon as possible, and pointing out that China and other countries are trying to gain dominance in the fields of crypto finance and artificial intelligence.

Trump’s post is not only political mobilization—it also points to a specific strategy: using the 《CLARITY Act》 as the infrastructure for the U.S. to seize competitive advantage in crypto.

Senator Lummis: administrative rules aren’t enough—only Congress can legislate

The following day, July 14, U.S. Senator Cynthia Lummis (Cynthia Lummis) clearly stated on X that no administrative rules can grant the Commodity Futures Trading Commission (CFTC) regulatory authority over digital asset spot markets, nor can they add sanction-authority permissions or protect developers from improper prosecution.

Lummis’s post emphasizes that these matters can only be completed through congressional legislation, and that the 《CLARITY Act》 is the only viable way to solve the issues above.

Lummis is also one of the main sponsors of the 《CLARITY Act》, and this round of remarks sets the tone for the legislative sprint before the August recess.

Law-enforcement units go on two fronts: a second federal organization publicly supports

On July 14, the American Society of Federal Law Enforcement Officers (ASBA) also publicly weighed in. The association, in a letter dated July 10 to the Senate Banking Committee, supported the 《CLARITY Act》 while also calling for modifications to the accountability mechanism in the provisions on decentralized finance. ASBA asked to narrow the scope of DeFi protections, revise the wording of “specific intent” to facilitate assigning responsibility, and clarify that the bill does not limit existing federal investigative powers.

The letter, together with earlier public support from the National Association of Black Law Enforcement Administrative Officials (NABOEA), amounts to two independent letters. They directly rebut the argument that the bill would weaken the government’s ability to crack down on crypto crime.

Four-week sprint window: the two major fatal disagreements have not been broken

With only about four weeks left until the August congressional recess, an important milestone is coming this week: updated legislative text combining the two versions of the plans from the Senate Banking Committee and the Agriculture Committee.

At present, the two core issues remain unresolved. First, the line on whether non-custodial software developers are deemed “money services businesses” is still being contested. Second, the anti–conflict-of-interest provisions targeting Trump’s crypto gains of over $1 billion have not yet been agreed with the White House.

The political situation adds further uncertainty: the death of Republican Senator Graham and McConnell’s continued absence have sharply reduced the margin for error for a bill that already required 60 votes to pass, making the importance of Democratic votes unprecedentedly high.

Industry outlook: optimism and caution coexist

Two well-known research organizations have differing views on the outlook. Kristin Smith, president of the Solana Policy Research Institute, believes there is a feasible path forward and that momentum for a full-chamber vote is building.

Galaxy Digital’s head of research, Alex Thorn, is more cautious, having lowered the probability of passage to 50%, warning that priorities such as the National Defense Authorization Act are squeezing out legislative time. If the bill is blocked within the year, U.S. crypto innovation will continue to flow outward.

For Taiwan’s crypto market, the progress of the 《CLARITY Act》 directly affects the price-discovery mechanism for global crypto liquidity. The direction of the bill within the four-week window is worth close monitoring.