US Senate Crypto Bill Fails to Advance in Major Blow to Industry

The United States Senate has failed to advance a comprehensive cryptocurrency bill backed by President Donald Trump, dealing a major setback to efforts to establish the country’s first broad federal regulatory framework for digital assets.

The Digital Asset Market Clarity Act failed to secure the 60 votes required to proceed to debate on Tuesday, September 15, 2026.

The measure received 50 votes in favour and 49 against.
Four Republican senators — Jerry Moran, Rand Paul, Josh Hawley and Thom Tillis — joined Democratic senators in opposing the bill.

The development represents a significant setback for cryptocurrency companies and Republican lawmakers who had supported the legislation for months.

One of the major areas of disagreement involved provisions concerning stablecoins and safeguards related to Trump’s extensive cryptocurrency interests.

Senator Elizabeth Warren, the senior Democrat on the Senate Banking Committee, criticised the legislation, arguing that it could pose risks to American families, national security and the economy.

Warren also raised concerns about the potential financial benefits the bill could provide to Trump, who has extensive interests in cryptocurrency-related businesses.

The legislation’s defeat came as Congress prepares to leave Washington ahead of the November midterm elections, adding uncertainty to efforts to establish comprehensive federal rules for the digital-asset industry.

The disagreement was not entirely along party lines.

Community banks strongly opposed provisions that would allow rewards on stablecoin holdings, arguing that such measures could encourage customers to move deposits away from traditional banks.

Some Republican senators also expressed concerns about the stablecoin provisions, making it more difficult for party leaders to secure enough votes.

Tillis ultimately voted against the bill in a procedural move that allows him to potentially support reconsideration of the legislation at a later date.

The cryptocurrency industry had invested hundreds of millions of dollars in efforts to promote the legislation.

Trump had also urged lawmakers to approve the bill after courting support from the crypto sector during his 2024 presidential campaign, when he described himself as a “crypto president.”

Trump has reportedly earned more than $1.4 billion from his family’s cryptocurrency ventures.

With Congress failing to pass the legislation, regulatory responsibility is expected to remain largely with agencies including the US Securities and Exchange Commission and the Commodity Futures Trading Commission.

Industry experts have argued that only Congress can establish a lasting regulatory framework for digital assets.

Without legislation, they say, cryptocurrency regulations could remain vulnerable to changes in political leadership and legal challenges.

The Senate vote also affected financial markets. Bitcoin fell by more than five per cent as it became increasingly clear that the bill would fail, marking its largest one-day percentage decline since June.

Shares of cryptocurrency exchange Coinbase and stablecoin issuer Circle also fell, with both companies recording declines of as much as 10 per cent during trading.

The Senate’s decision leaves the future of comprehensive cryptocurrency regulation in the United States uncertain as lawmakers continue to debate how best to regulate the rapidly expanding digital-asset sector.

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