- Paul Atkins said the SEC can write crypto market rules if the bill stalls.
- The Clarity Act has not reached a Senate floor vote and may miss the August recess.
- Atkins said legislation would offer more durable certainty than agency guidance.
SEC Chair Paul Atkins said the agency is prepared to write crypto market rules itself if the Clarity Act does not make it through Congress, even as he argued that legislation remains the stronger solution. In remarks to CNBC, Atkins said the SEC is ready to issue rules covering similar ground if the Senate fails to pass the bill. He also said the market needs the certainty that comes from a statute, because agency action can change with a new administration. His comments came as the Clarity Act remains stuck before a Senate floor vote and faces political resistance that could delay it beyond the August recess.
Clarity Act faces Senate delays
Atkins said the SEC would move ahead with its own rules if the Clarity Act fails to become law. He told CNBC that the agency is ready, willing, and able to provide rules that address the same issues if the Senate does not advance the bill. That fallback would allow the regulator to address key crypto market structure questions without waiting for another legislative deadline.
At the same time, he emphasized that legislation would be the better long-term answer. Atkins said a statute would future-proof the framework and give the crypto market greater certainty than an administrative approach that can be revised or withdrawn by a future administration. That difference is important because agency rules can guide the market quickly, while legislation can establish a more durable division of regulatory authority.
SEC backs the Clarity Act path
Although Atkins outlined an SEC fallback plan, he said he still expects Congress to act on the Clarity Act. He noted that the agency is providing technical assistance on crypto legislation, showing that the SEC is still engaged in the legislative process rather than treating rulemaking as its preferred first option.
He repeated that support in a Tuesday post on X, saying he is committed to helping Congress advance the measure. That statement reinforced his view that the Clarity Act remains the preferred route, even if the SEC is preparing to act on its own if lawmakers do not finish the job. It also showed that the agency’s backup planning has not replaced its support for a congressional framework.
Clarity Act status in the Senate
The Clarity Act passed the House by a 294-134 vote in July last year. It also cleared the Senate Banking Committee by a 15-9 vote in May, though nine Democrats voted against it, and it still has not reached the full Senate for a floor vote. The delay leaves lawmakers with limited time to resolve the remaining disputes before the chamber begins its August recess.
The measure would need 60 votes in the Senate if it comes to the floor. Senate Majority Leader John Thune told reporters late last week that the bill would likely not clear the chamber before the August recess, and the Senate has since shelved the Clarity Act for the time being. The development adds to earlier Senate delays involving the crypto bill.
Senate Democrats have also raised objections to the latest version of the bill. Their concerns include whether the ethics provisions covering officials’ crypto dealings are strong enough, while the question of whether stablecoins can pay yield remains unresolved. Those disputes could determine whether the measure attracts enough bipartisan support to overcome the Senate’s procedural threshold.
SEC rulemaking as a legislative backup
The SEC has already built much of the alternative that Atkins described. His Project Crypto initiative, announced in November, led to a Regulation Crypto rulemaking package on the agency’s 2026 agenda, covering token registration exemptions, a safe harbor for decentralizing projects, broker-dealer custody, and trading venues. The package reflects a broader effort to clarify how digital assets can operate under existing securities rules.
Atkins has described that package as a bridge to the Clarity Act rather than a full replacement for legislation. The point, he said, is that agency action has limits even when it can move faster than Congress. Rules issued by the SEC may offer near-term guidance, but they would not provide the same durability or political permanence as a statute approved by lawmakers.
Those limits were illustrated by SEC and CFTC guidance issued in March that classified 16 tokens as digital commodities, including Bitcoin and Ethereum. Because that guidance is administrative rather than statutory, it can be withdrawn by a future administration without a vote in Congress. The distinction helps explain why broader U.S. crypto regulation remains tied to both agency action and legislation.
Conclusion
The Clarity Act remains central to the next phase of U.S. crypto rulemaking, but Atkins made clear that the SEC will not wait indefinitely if Congress cannot act. He said the agency is prepared to issue rules that cover similar ground, while also stressing that legislation would provide a more stable framework for the market. For now, the Clarity Act has passed the House and cleared the Senate Banking Committee, yet it still faces a difficult path to broad Senate backing before the August recess. With Democrats objecting to parts of the bill and the Senate putting it aside for now, the SEC’s backup plan is becoming more important.
Disclaimer
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