Legislative hurdles and stablecoin yield disputes may delay the Clarity Act until after U.S. elections, JPMorgan analysts warn.
JPMorgan analysts cautioned that the Clarity Act, a proposed U.S. crypto market structure bill, has a narrowing window for passage before midterm elections disrupt the legislative calendar. The bill cleared the Senate Banking Committee in May but still requires 60 Senate votes, House reconciliation, and presidential approval.
Stablecoin yield restrictions remain a key obstacle, with banks and crypto firms divided on the issue. Analysts noted that limiting yield could shift capital toward tokenized Treasuries, money-market funds, and deposits. Industry pushback has further dimmed prospects for near-term enactment.
The report highlighted the compressed timeline as lawmakers focus on election campaigns, reducing the likelihood of progress this year.