Crypto Scores Senate Victory but Traders Hit the Sell Button Anyway
Champagne corks popped in DC — then the crypto market quickly sobered up. The Senate Banking Committee on Thursday advanced the Clarity Act, a long-stalled bill that would finally give digital assets a regulatory rulebook. But by Friday, the excitement had faded, with CoinbaseCOIN, RobinhoodHOOD, and CircleCRCL giving back gains as traders eyed the bill’s bumpy road ahead.
- Bitcoin fell nearly 3% while Ethereum dropped 4%, dragging crypto stocks lower, with Coinbase leading Friday’s pullback with a 7.8% decline.
- The compromise bans yield on idle stablecoin deposits but still allows “rewards” when users actively spend or move tokens, easing tensions between banks and crypto firms.
The clarity gamble: The bill still needs seven Democratic votes to clear a filibuster, and even Sens. Ruben Gallego and Angela Alsobrooks — the two Democrats who helped move it forward — warned they could oppose it on the floor. Even so, Benchmark analyst Mark Palmer said Washington is now closer than ever to passing legislation that could redefine the future of the US crypto industry. With more than $119M poured into pro-crypto candidates in 2024, the lobbying war is just heating up.