The US House Ways and Means Committee has passed the Digital Asset Tax Certainty Act by a 38-5 vote. The bill now heads to the full House for consideration.
The vote came a day after the Senate failed to advance the CLARITY Act. That effort died when the cloture motion failed 49–50 on Tuesday, falling short of the 60 votes needed to move forward.
Senate Vote Fails
Senator Cynthia Lummis, chair of the Senate Banking Subcommittee on Digital Assets and a lead sponsor of the legislation, blamed Democrats for the bill’s failure.
Lummis said in a post on X: “For over a year, they presented demands and the second we met them, they made new demands and moved the goal posts.” She added that Democrats had voted against proposed consumer protections and restrictions on politicians’ personal crypto investments.
The failure leaves the Senate route closed for now. The House is pursuing its own path.
What the Bill Does
The Digital Asset Tax Certainty Act covers stablecoins, mining and staking, digital asset lending, transaction fees and other crypto-related activity. Among its provisions:
- Special tax treatment for qualifying dollar-pegged stablecoins
- Certain crypto lending agreements
- Extended wash-sale rules to widely traded digital assets
- New rules for mining and staking income
- A de minimis exemption for certain crypto transaction fees, allowing taxpayers to avoid recognizing gains or losses on fees of $10 or less
The bill’s passage is a win for the industry’s push for clearer tax rules. The vote count shows broad support in the committee.
SEC Signals Continued Action
SEC Chair Paul Atkins signaled Wednesday that the agency would continue moving forward on crypto regulation under its existing authority.
Atkins said in a post on X: “With or without legislation, we will act decisively within the SEC’s statutory authority to deliver certainty for American investors and for the entrepreneurs shaping our technological future.” He added: “Stay tuned.”
The SEC’s approach is straightforward: it will regulate crypto regardless of whether Congress passes a law. That gives the agency room to act quickly, though its powers are limited compared to what a new statute could grant.
CFTC Moves Ahead Too
CFTC Chair Michael Selig echoed Atkins, saying the agency would move ahead using its existing statutory authority.
Selig said in a Wednesday post on X: “The CFTC is locked in and ready to ship its rules for the new frontier of finance.” He added that Americans “deserve regulatory clarity, legal certainty, and consumer protections in crypto asset markets.”
Both agencies are moving in the same direction. Selig’s comments suggest the CFTC intends to keep its pace.
The Legislative Route Is Stalled
The Senate’s failure was political, not policy-driven. Lummis framed the problem as Democrats changing demands mid-course. Whether that account is accurate, the outcome is clear: the CLARITY Act is dead for now.
The House bill takes a narrower approach. It deals with taxes, not the broader market regulation that the CLARITY Act attempted. The committee’s vote shows that the appetite for crypto legislation exists, but it may be split between tax rules and market rules.
Full House Consideration Ahead
The full House will consider the Digital Asset Tax Certainty Act. If it fails, the Senate’s path remains closed.
The SEC and CFTC are not waiting. Both agencies are advancing their own rulemakings, which means the regulatory landscape could shift even without new law.
The Race Between Law and Rulemaking
The question now is which path ultimately sets crypto standards. The legislative route is stalled in the Senate, but the House is moving. The regulatory route is active at both agencies.
The Senate’s failure is a setback for those who wanted a comprehensive federal framework. The House bill is a partial fix, focused on taxes. The agencies are acting under their current authority, which means the regulatory landscape could shift even without new law.
Timeline of Events
| Date | Event |
|---|---|
| Tuesday | Senate CLARITY Act cloture motion fails 49–50 |
| Wednesday | House Ways and Means Committee passes Digital Asset Tax Certainty Act 38-5 |
| Wednesday | SEC Chair Paul Atkins signals continued action |
| Wednesday | CFTC Chair Michael Selig signals continued action |
The Senate’s failure is a setback for those who wanted a comprehensive federal framework. The House bill is a partial fix, focused on taxes. The agencies are acting under their current authority, which means the regulatory landscape could shift even without new law.
Who is protecting what
The practical effect of the Senate’s failure is that the legislative route is closed for now. The House is pursuing its own path, and the SEC and CFTC are advancing their own rulemakings. The question is which path ultimately sets crypto standards.
The paper suspects the SEC and CFTC are protecting their own regulatory momentum. Each agency gets to act under its current authority, which keeps its staff busy and its rules moving forward. Neither agency wants to wait for Congress to act, since that could take time and change the rules they are writing.
Ask yourself why the agencies are moving so quickly. Are they delivering certainty for investors, or are they simply shipping rules to show they are doing something? The answer matters because the legislative route is stalled, and the agencies are filling the gap on their own terms.
See the 5 covers at Cointelegraph.
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