Crypto's Clarity Act Faces Time Crunch in Senate

The US Senate's Digital Asset Market Clarity Act, a crucial piece of crypto legislation, is facing a race against time to pass, with a Senate committee hearing potentially taking place in May. Despite the Senate's limited floor time, lobbyists and lawmakers believe the bill can still be approved if it reaches a final vote by July. The current delay has been caused by a debate over stablecoin rewards, which has been ongoing for months, with bank lobbyists expressing concerns that these rewards could jeopardize their business model. However, a potential compromise has been reached, which would allow firms like Coinbase to structure rewards programs that are more akin to credit-card incentives. The bill's success is crucial for the crypto industry, which is playing the long game on the political front, with crypto PACs devoting millions of dollars to build relationships with lawmakers from both parties. If passed, the Clarity Act would become the second major crypto bill to be signed into law, following last year's Guiding and Establishing National Innovation for US Stablecoins (GENIUS) Act.