The U.S. Congress is poised to pass the CLARITY Act, which could significantly alter cryptocurrency regulation in the country. This decision may affect market dynamics and boost investor confidence.
CLARITY Act Set to Vote in Congress
On July 9, 2025, Coinbase CEO Brian Armstrong announced that the U.S. House of Representatives is gearing up to vote on the CLARITY Act. The Senate is also expected to follow suit. This bill is backed by the Stand With Crypto initiative, which involves 65 crypto firms and leaders, aiming to establish clear boundaries between the CFTC and SEC to improve the climate for cryptocurrencies.
Cryptocurrency Market Responds to Changes
The market has shown a marked reaction to the anticipated changes, with Coinbase stock surging by 38% amid rising optimism in crypto circles. According to CoinMarketCap, Bitcoin (BTC) is priced at $108,386.41, with a market cap of $2.16 trillion and a 24-hour volume of $42.34 billion. Recent price changes include a 0.54% rise in 24 hours and a 32.59% increase over 90 days.
Impact of New Regulations on Investors
The CLARITY Act is expected to alter the U.S. financial landscape by streamlining regulations, which could stimulate institutional investments and increase liquidity. Analysts note that similar legislative changes in the past prompted surges in institutional inflows.
The passage of the CLARITY Act may become a pivotal moment for cryptocurrency regulation in the U.S., impacting market conditions and enhancing investor trust.
