Crypto Legislation Knocked Down in U.S. Senate

A cryptocurrency regulation bill that could have served as a vehicle for additional retirement industry-related measures failed to pass a procedural vote in the Senate and looks unlikely to advance in the Senate. Only 50 U.S. senators voted to end debate on the bill and advance it for consideration.

The Digital Asset Market Clarity Act of 2025 on Tuesday afternoon, falling short of the 60 votes needed to invoke cloture and bring the bill to a floor vote.

Forty-nine senators voted against cloture, including all Democrats and four Republicans: Senators Susan Collins, R‑Maine; Josh Hawley, R‑Missouri; Jerry Moran, R‑Kansas; and Thom Tillis, R‑North Carolina. Tillis had initially voted yes, then changed his vote to no.

The Clarity Act is designed to streamline the oversight of digital assets, classifying them as “digital commodities” regulated by the Commodity Futures Trading Commission and “digital securities” regulated by the Securities and Exchange Commission. It also includes investor protections designed to curb insider trading and market manipulation, and provide new anti-money-laundering and sanctions-compliance requirements.

Had the cloture vote succeeded, the Clarity Act would have potentially been amended to addother retirement industry-backed provisions, including the Retirement Fairness for Charities and Educational Institutions Act, which would allow 403(b) plan participants to access collective investment trusts and other investment options already available in many 401(k), 457(b) and federal Thrift Savings Plan accounts.