What to Expect in July

U.S. Senator Cynthia Lummis is ramping up efforts to move the CLARITY Act, one of the most important crypto regulation bills in the United States, through the Senate in July 2026. Let’s dive into the CLARITY Act Update to keep you informed about recent progress.

Speaking on Fox Business, Lummis said negotiators expect to finalize the Senate compromise text around the July 4 recess and plan to “move in July.” However, the bill still faces several political and procedural challenges before it can become law.

Why Is July so important for the Clarity Act?

The Senate has a very limited legislative window before lawmakers leave for their August recess. The chamber enters a state work period from June 29 through July 10, leaving only about four weeks in mid-to-late July for floor action.

If the bill fails to pass before August, analysts warn that its chances of becoming law this year could decline sharply, potentially delaying meaningful crypto market structure legislation until 2027 or beyond.

According to journalist Eleanor Terrett, Republican lawmakers are making a renewed push to pass the CLARITY Act before Congress breaks for recess. The urgency has reportedly increased following political fallout surrounding the recent housing bill, combined with concerns that time is quickly running out.

When senators return on July 13, they will have just 20 working days to move the legislation through the Senate and back to the House.

What Obstacles Does the Crypto Bill Face?

Several major hurdles still remain.

First, Senate Majority Leader John Thune has not yet allocated floor time for the legislation. Without a Senate vote, the bill could stall regardless of support.

Second, Republicans will likely need at least seven Democratic senators to overcome the Senate’s 60-vote threshold.

Lawmakers are also still debating several unresolved issues, including:

• Ethics rules tied to President Trump’s crypto business interests.
• Anti-money laundering (AML) requirements.
• Whether crypto firms offering deposit-like products should be regulated like banks.

Notably, Democratic senators Ruben Gallego and Angela Alsobrooks supported the bill in committee but described their backing as conditional, meaning their final votes will depend on how these outstanding issues are resolved.

What Has Lummis Done to Address Concerns?

Lummis says the bill includes:

• $150 million to strengthen efforts against crypto-related financial crime.
• Revisions that allow crypto rewards programs while preventing them from functioning like traditional bank interest accounts.

Meanwhile she has strongly pushed back the criticism from JPMorgan CEO Jamie Dimon, arguing that he misunderstood key provisions of the bill and should review the updated text.

Despite the challenges, industry leaders remain optimistic. Andreessen Horowitz’s Miles Jennings said the tight timeline could actually force lawmakers toward compromise, while Solana Policy Institute President Kristin Smith says there is still a realistic path for the CLARITY Act to pass next month.

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