The Digital Asset Market Clarity Act cleared the House in July 2025 with a 294-134 vote. Rep. Stephen Lynch of Massachusetts would like a word.
Lynch, the ranking Democrat on the House Financial Services Subcommittee on Digital Assets, Financial Technology and Artificial Intelligence, has become one of the most vocal critics of the legislation, arguing it would destabilize the banking system and erode the dollar’s global standing.
What the bill actually does
The CLARITY Act, formally H.R. 3633, is designed to draw a clean line between two federal regulators that have spent years fighting over crypto jurisdiction. Digital commodities would fall under the Commodity Futures Trading Commission. Tokens structured as investment contracts would stay with the Securities and Exchange Commission.
The banking industry’s specific worry
