Senator Thom Tillis switched his vote from yes to no and filed a motion to reconsider the CLARITY Act after Tuesday’s Senate procedural vote drew just 49 votes in favor and 50 against, short of the 60 needed to advance. The move preserves a path to another vote on the crypto regulation bill, rather than reversing its defeat. “This is not the end for the Clarity Act,” Tillis said.

The bill would establish a federal framework for digital assets and clarify the roles of the SEC and Commodity Futures Trading Commission. No Democrats voted to advance it after a dispute over ethics restrictions addressing President Donald Trump’s crypto interests. Michigan Senator Elissa Slotkin called the ethics rules “simply too thin,” citing concerns about public officials’ conflicts, national security and the CFTC’s ability to implement the framework. Republicans Susan Collins, Josh Hawley and Jerry Moran also voted against advancing it.

Coinbase and Circle shares fell about 10% after the bill stalled, while Bitcoin miners and crypto treasury firms also declined. Polymarket put the chance of enactment by the end of 2026 at 7% following the vote. Former CFTC Chair Christopher Giancarlo said the setback would not stop crypto regulation, telling Eleanor Terrett that SEC Chair Paul Atkins and CFTC Chair Michael Selig were ready to build regulatory frameworks without the legislation.