The U.S. Senate Banking Committee is expected to mark up the Digital Asset Market Clarity (CLARITY) Act of 2025 Thursday, advancing a sweeping cryptocurrency market structure proposal that could significantly affect how credit unions engage with digital assets and stablecoins.
The updated legislation establishes a regulatory framework dividing oversight responsibilities between the Securities and Exchange Commission and Commodity Futures Trading Commission while creating new definitions and compliance standards for digital commodities, stablecoins, decentralized finance systems and digital asset intermediaries.
According to America's Credit Unions, the bill would clarify credit unions' ability to exercise custodial powers involving stablecoins and establish a clearer regulatory pathway for credit unions to offer digital commodity custody services. The legislation would also permit stablecoins to provide rewards while prohibiting stablecoins from paying yield in a manner similar to traditional bank or credit union deposits.
The House passed the legislation in July 2025, and Senate lawmakers have spent months negotiating language capable of advancing through the Banking Committee.
The 309-page substitute amendment also includes provisions related to cybersecurity, anti-money laundering compliance, bankruptcy protections, decentralized finance oversight and digital asset disclosures.
For credit unions, the legislation could open new opportunities in digital asset custody and payment services while also creating additional compliance obligations tied to anti-fraud, risk management and illicit finance requirements.
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