Who needs CLARITY anyway? ARB could see 70X increase: Hodler’s Digest

Crypto missed out CLARITY, but tokenized stocks were legalized and the Bitcoin Reserve advanced. Meanwhile Standard Chartered says Arbitrum’s price could increase 70 times by 2030.

After a year’s buildup, the US Senate failed to pass a cloture motion on the Digital Asset Market Clarity (CLARITY) Act.

The motion received just 49 votes in favor and 50 against, well short of the 60 votes required.

However, Republican Senator Thom Tillis’s “no” vote was not all it seemed, and he confirmed he’d only switched sides at the last minute to enable him to call a new vote in future.

So does that mean the CLARITY Act could be resurrected? The GENIUS bill suffered a similar failed vote on cloture and then went on to pass just 11 days later.

While there is a small chance that CLARITY could still pass,the politics and the number of legislative days available suggests it’s unlikely.

Congressman Shri Thanedar, a Democrat who supported CLARITY in the House, told Magazine the timeline was a “major barrier.”

Seven Democratic senators who had voted against the bill — claimed they “remain committed” to passing it. At some point. “We were ready to strike a deal today and in discussions right up until the vote. Republican leadership shut it down at the very last minute,” said Sen. Angela Alsobrooks. NEAR chief legal officer Abhishek Vaidyanathan noted the House had already cancelled two sitting weeks and that the Senate’s state work period began October 5.

“Now that cloture failed, the next Congress is the likely next opportunity to address crypto market structure,” he said.

After the failed vote, Ripple CEO Brad Garlinghouse predicted that US regulators will “continue to work hard to issue rules to fill the legislative gap.”

The industry didn’t have long to wait with the US Securities and Exchange Commission announcing just two days later a five year long exemption allowing limited trading of tokenized US stocks on decentralized public blockchains.

The Innovation Exemption allows tokenized stock trading using automated market makers and exempts them from having to register as securities exchanges.