Reviewed by Reviewed by Jibin Mathew George Updated 20:00 EDT October 9, 2026 Share Share Share Back to Top The CLARITY Act’s failure to pass the Senate has disappointed the crypto market a lot and killed the hopes of many looking forward to the bill’s passage
In this list of disappointed groups and individuals, the U.S Commodity Futures Trading Commission (CFTC) has disclosed that they do not want to wait any longer for Congress to pass comprehensive crypto legislation before establishing rules for the cryptocurrency market
We would have preferred to have a federal regulatory framework codified into statute, but we go to war with the statute we’ve got and we’ve got clear authority and we’re going to use it
The CFTC intends to use its existing powers to establish basic rules and provide greater clarity for crypto businesses and market participants
At the same time, Selig also expressed hope that Congress will revisit the CLARITY Act in the future, potentially refining its provisions to address remaining regulatory gaps
Faryar Shirzad, Chief Policy Officer at Coinbase, argued that the proposed CLARITY Act would have helped the CFTC strengthen its ability to regulate crypto markets by providing additional funding mechanisms and faster hiring authority
However, he believes that Congress should provide practical support, including the resources and staff needed to enforce rules effectively. This, rather than simply requesting another report on the agency’s challenges
Needless to say, despite multiple temporary fixes, the frustration is still felt among many Republicans
We added it to the Clarity Act, and Senate Democrats voted no
In fact, the delay was also felt in Polymarket’s odds, with the same down to 5% at press time. No matter the uncertainty, however, the CFTC is not stopping
Just recently, the CFTC updated its FAQs to clarify how tokenization and blockchain technology can operate within existing regulations. The agency also allowed regulated firms to use blockchain for record keeping, provided records remain authentic, accessible, and reliable
Ishika Kumari is a Crypto Analyst at AMBCrypto, specializing in regulatory developments, market dynamics, and blockchain’s real-world impact. She breaks down complex protocols and legislation into practical, easy-to-understand insights
