Senate Banking Committee Sets January Markup for Crypto CLARITY Act
White House Czar David Sacks confirms the Senate Banking Committee will markup digital asset legislation in January, moving to reconcile the House-passed CLARITY Act with new ‘ancillary asset’ provisions.
The long-stalled reconciliation between House and Senate crypto market structures faces a definitive deadline. White House AI and Crypto Czar David Sacks confirmed via X on Thursday that the Senate Banking Committee will mark up digital asset legislation in January, targeting a final floor vote by early 2026.
Markets reacted with characteristic caution to the regulatory timeline. Bitcoin (BTC) struggled to hold the $85,000 support level, sliding 1.2% to $84,544 in afternoon trading, while Ethereum (ETH) dropped 4% to $2,833. Volume across major exchanges remained muted as institutional desks weighed the delay against the certainty of a concrete schedule.
The ‘Ancillary Asset’ Conflict
While the House passed its version. The Digital Asset Market Clarity Act (CLARITY Act), on July 17 by a bipartisan vote, the Senate process has lagged. The friction centers on the "Responsible Financial Innovation Act of 2025," a discussion draft released by the Senate Banking Committee in September.
The Senate draft introduces a classification not present in the House bill: "ancillary assets." This provision attempts to bridge the jurisdiction gap between the SEC and CFTC by treating certain tokens as intangible assets sold pursuant to an investment contract, without necessarily labeling the token itself a security. Industry lobbyists have privately expressed concern that the Senate’s language could create a third regulatory bucket, complicating compliance for dual-registered exchanges.
Sacks stated he "received confirmation" of the January markup directly from Senate Banking Committee Chairman Tim Scott and Senate Agriculture Committee Chairman John Boozman, signaling alignment between the White House and key legislative committees.
2026 Timeline
The January markup places the bill on a tight trajectory for a Q1 2026 passage. If the Senate Banking Committee advances the RFIA draft, it must still be reconciled with the House’s CLARITY Act in conference, a process likely to dominate Q2. For market participants, the definition of "decentralized network" and the specific requirements for "ancillary asset" disclosures remain the primary variables for 2026 compliance budgets.
