Investment bank Jefferies: The Clarity Act faces a critical test in the Senate, potentially exacerbating volatility in the crypto market.

According to a recent report by investment bank Jefferies, the US CLARITY Act still faces significant legislative hurdles in the Senate, and its progress in the coming weeks could exacerbate volatility in the crypto market. Although the bill passed the Senate Banking Committee with a bipartisan vote of 15-9, with only about 20 legislative days remaining before the August congressional recess, it needs to complete bill integration, procedural voting, reconciliation with the House version, and submission to the President for signature—time is tight. Polymarket data shows that the probability of the bill passing before the end of 2026 has dropped from 70% in mid-May to 48%. Jefferies believes that if the bill passes smoothly, it will establish a clear regulatory framework for digital assets, prompting banks, asset management institutions, and exchanges to accelerate their deployment of tokenized assets, custody, staking, lending, and other businesses, thus promoting more…