headings
. No other tags. Readability: wordCount around 600, readingTime "3 min". Let's write. Lead: "The Senate Banking Committee released a 309-page draft of the Digital Asset Market Clarity Act (CLARITY Act) this week, adding 31 pages of revisions since January and setting up a Thursday markup vote. The bill’s latest version includes a bipartisan compromise on stablecoin rewards, new insider trading restrictions, and a provision that permanently treats bitcoin and ether as non-securities." That covers the main points. Section 1: "A deal on stablecoin rewards" – explain the Tillis-Alsobrooks compromise in Section 404. Allow regulated stablecoin issuers to offer yield under tighter limits and oversight. Section 2: "Insider trading and bankruptcy protections" – Section 109 on insider trading laws applied; Section 702 Insolvency Safe Harbor. Section 3: "Locking in BTC and ETH as non-securities" – any token that was principal asset of a spot ETP as of Jan 1, 2026 is permanently non-security. Section 4: "Ethics still a sticking point" – Senator Warren emphasizing safeguards against senior officials benefiting. Section 5: "What happens next" – the markup vote, amendments due Tuesday (already past), effective dates Section 906. But careful: amendments due Tuesday (May 12) already passed. Since today is May 16, we can say "committee members submitted amendments by Tuesday's deadline". That is factual. We need to mention the Build Now Act as Section 904. Also note substantial revisions to Title I. End with the next concrete thing: the markup vote on Thursday, and the ongoing debate over ethics provisions. Now write the HTML content. Let's draft the full article: The Senate Banking Committee released a 309-page draft of the Digital Asset Market Clarity Act (CLARITY Act) this week, adding 31 pages since January and setting a markup vote for Thursday. The bill’s latest version includes a bipartisan compromise on stablecoin rewards, new insider trading restrictions, and a provision that permanently treats bitcoin and ether as non-securities. Committee members had until close of business Tuesday to submit amendments.
The Tillis-Alsobrooks stablecoin deal
Section 404 now contains a compromise worked out between Senators Thom Tillis and Angela Alsobrooks. The language allows regulated stablecoin issuers to offer certain forms of yield, but under tighter limits and more oversight than the January draft allowed. It’s a rare bipartisan moment on a usually divisive issue — and one that could clear the way for broader stablecoin regulation.
Insider trading and bankruptcy safeguards
A new Section 109 extends federal insider trading laws to digital assets, closing a gap that critics say has left the market vulnerable to abuse. Separately, Section 702 adds an Insolvency Safe Harbor, letting counterparties close out digital commodity positions and access collateral outside standard bankruptcy proceedings. That’s a direct response to the chaos seen in past exchange collapses.
Bitcoin and ether locked in as non-securities
Under Title I revisions, any token that was the principal asset of a spot ETP as of January 1, 2026 is permanently treated as a non-security. The effect is to cement bitcoin and ether — the only tokens that currently meet that criteria — outside the SEC’s enforcement reach, at least as far as classification goes. The change could provide certainty for issuers and investors alike, though some critics argue it locks in a status that may not fit future tokens.
Ethics provisions remain a sticking point
Senator Elizabeth Warren has made clear she wants stronger safeguards preventing senior government officials from financially benefiting from cryptocurrencies. The issue remains unresolved as the markup approaches. Warren’s push reflects a broader concern on the left that the bill doesn’t go far enough to police potential conflicts of interest.
What happens Thursday
The committee is expected to hold a markup vote on the CLARITY Act on Thursday. The bill also incorporates the Build Now Act as Section 904, and sets a general 360-day effective date after enactment, with some rulemaking-dependent provisions taking effect later. If the bill advances, it would move to the full Senate floor — though the ethics fight could still slow momentum.
The Senate Banking Committee released a 309-page draft of the Digital Asset Market Clarity Act (CLARITY Act) this week, adding 31 pages since January and setting a markup vote for Thursday. The bill’s latest version includes a bipartisan compromise on stablecoin rewards, new insider trading restrictions, and a provision that permanently treats bitcoin and ether as non-securities. Committee members had until close of business Tuesday to submit amendments.
The Tillis-Alsobrooks stablecoin deal
Section 404 now contains a compromise worked out between Senators Thom Tillis and Angela Alsobrooks. The language allows regulated stablecoin issuers to offer certain forms of yield, but under tighter limits and more oversight than the January draft allowed. It’s a rare bipartisan moment on a usually divisive issue — and one that could clear the way for broader stablecoin regulation.
Insider trading and bankruptcy safeguards
A new Section 109 extends federal insider trading laws to digital assets, closing a gap that critics say has left the market vulnerable to abuse. Separately, Section 702 adds an Insolvency Safe Harbor, letting counterparties close out digital commodity positions and access collateral outside standard bankruptcy proceedings. That’s a direct response to the chaos seen in past exchange collapses.
Bitcoin and ether locked in as non-securities
Under Title I revisions, any token that was the principal asset of a spot ETP as of January 1, 2026 is permanently treated as a non-security. The effect is to cement bitcoin and ether — the only tokens that currently meet that criteria — outside the SEC’s enforcement reach, at least as far as classification goes. The change could provide certainty for issuers and investors alike, though some critics argue it locks in a status that may not fit future tokens.
Ethics provisions remain a sticking point
Senator Elizabeth Warren has made clear she wants stronger safeguards preventing senior government officials from financially benefiting from cryptocurrencies. The issue remains unresolved as the markup approaches. Warren’s push reflects a broader concern on the left that the bill doesn’t go far enough to police potential conflicts of interest.
What happens Thursday
The committee is expected to hold a markup vote on the CLARITY Act on Thursday. The bill also incorporates the Build Now Act as Section 904, and sets a general 360-day effective date after enactment, with some rulemaking-dependent provisions taking effect later. If the bill advances, it would move to the full Senate floor — though the ethics fight could still slow momentum.
