The Clarity Act Advances Slowly, and The SEC and CFTC Anticipate Passage With A New Interpretation- Some Crypto Offerings Facilitated

The Clarity Act progresses toward Senate approval, promising clearer regulations for crypto offerings as the SEC and CFTC prepare for significant changes.

The conversation around crypto regulation is heating up as the Clarity Act inches closer towards passage. As of March 23, 2026, both the SEC and CFTC are preparing for substantial changes that may finally provide clearer guidelines for crypto offerings. Are we on the brink of a regulatory breakthrough in the crypto space? What’s New with the Clarity Act? The Clarity Act, which passed in the House last summer, awaits Senate approval but has faced hurdles, primarily dealing with the payment of rewards on stablecoin balances. Reports suggest that the concerns raised by traditional banks regarding potential deposit outflows into non-bank accounts have led to a resolution. Moving forward, passive rewards on stablecoin balances will be prohibited, whereas activity-based rewards connected to payments, transfers, and platform use are permissible. How Will the SEC and CFTC Operate Under the Clarity Act? The SEC and CFTC are taking proactive measures by preparing a “memorandum of understanding” that will govern how they regulate crypto-related assets. As the legislation progresses, it is anticipated that both agencies will release joint interpretations delineating their respective jurisdictions: the SEC will manage digital securities, while the CFTC will oversee digital commodities. This division aims to provide clarity and enhance regulatory oversight in the crypto market. What Are the Implications for Crypto Offerings? The Clarity Act is expected to introduce a framework for regulating hybrid instruments that combine elements of securities and commodities. Significantly, the Act will also broaden the types of custodians qualified to hold digital assets, potentially including non-depository trust companies affiliated with crypto platforms. This could open the door wide for more innovative offerings in the crypto space, creating a safer environment for both investors and companies alike. What’s the SEC’s New Interpretation? Just last week, the SEC unveiled a new interpretatio