Jefferies: 'CLARITY Act' Faces Key Senate Test, May Intensify Crypto Market Volatility

BlockBeats News, June 30 — Investment bank Jefferies stated in its latest report that the U.S. 'CLARITY Act' still faces significant legislative hurdles in the Senate, and developments in the coming weeks may intensify volatility in the crypto market. Jefferies noted that although the bill previously passed the Senate Banking Committee with a bipartisan vote of 15 to 9, there are only about 20 legislative days left before Congress recesses in August. The Senate still needs to complete bill consolidation, procedural voting, coordination with the House version, and submission for presidential approval, leaving very tight timelines. Polymarket data shows that the probability of the bill passing by the end of 2026 has dropped from 70% in mid-May to 48%. Jefferies believes that if the bill is successfully passed, it will establish a clear regulatory framework for digital assets, accelerating banks, asset management institutions, and exchanges in deploying tokenized assets, custody, staking, lending, and other businesses, while promoting more crypto ETFs and IPOs of crypto infrastructure companies. If the legislation is delayed, it may prolong regulatory uncertainty, causing traditional financial institutions to slow down their blockchain business initiatives. The report predicts that the legislative process will continue to impact the market performance of crypto-related stocks such as Circle (CRCL), Coinbase (COIN), Bullish (BLSH), and certain crypto assets. Jefferies also pointed out that, in the long term, compared to regulatory changes, stablecoin issuer Circle faces greater challenges from competition with banks, fintech companies, and payment firms. [Original Link]