Bipartisan “CLARITY Act of 2025” Unveiled—Will It Finally End Crypto Regulatory Chaos Between the SEC and the CFTC?

U.S. Representative French Hill has introduced the Digital Asset Market Clarity Act of 2025, a bipartisan effort to resolve the long-standing jurisdictional conflict between the SEC and CFTC. The 236-page bill grants the CFTC exclusive oversight of digital commodity spot markets, establishing new registration frameworks for crypto firms.

The legislation builds on last year’s FIT21 proposal, marking a significant step toward comprehensive crypto market regulation. While stablecoin rules remain the frontrunner for early adoption, the CLARITY Act addresses broader structural issues—prioritizing consumer protection while creating institutional certainty for investors and entrepreneurs.

Three Democratic co-sponsors have joined Rep. Hill in backing the measure, signaling rare cross-aisle cooperation in crypto policy. The bill’s introduction comes as regulatory ambiguity continues to hinder U.S. competitiveness in digital asset innovation.