What Happens If the Bill Fails to Advance
-

If the CLARITY Act stalls in the Senate, the immediate operational impact on the crypto industry may be limited. Thorn noted that the sector has already benefited from a broader pro-crypto regulatory pivot in the US. However, short-term investor sentiment would likely take a hit.
The timing is especially sensitive. With the 2026 midterm elections approaching, a failed vote could delay meaningful market structure legislation until 2027 or later. Analysts at TD Cowen have warned that implementation could slip to 2029, while figures like Ray Dalio caution that a shift in congressional power could even reverse recent pro-tech and pro-crypto policies.