The Senate's 49-50 procedural vote left the cryptocurrency market structure bill 11 votes short, leading to declines across major tokens.
By Shaurya Malwa22 min ago2 min readMake preferred on ShareShare this articleCopy linkX (Twitter)LinkedInFacebookEmailMake preferred on (CoinDesk Data)SummaryShow- XRP plummeted nearly 10% to $1.30, leading a widespread sell-off in cryptocurrencies after the Senate could not advance the Clarity Act in a 49-50 procedural vote.
- The failure of the bill stemmed from disagreements over ethics provisions, regulatory staffing, and measures against money laundering and terrorism financing.
- Crypto equities experienced sharper declines than major tokens as focus shifted to the Securities and Exchange Commission’s regulatory actions and the Federal Reserve’s interest rate decision.
XRP experienced a significant decline of nearly 10%, landing at $1.30 as of Wednesday morning in Asia, marking it as the poorest performer among major cryptocurrencies following the Senate's failure to progress the Clarity Act, as reported by CoinDesk data.
Ether followed closely, dropping nearly 5% to around $2,410, while Solana and Dogecoin also fell by about 5%. Zcash and Hyperliquid's HYPE saw declines of nearly 4%, and Bitcoin dropped approximately 3% to just over $76,000. BNB and Tron had the least severe drops, with both down by roughly 1%.
The bill failed to pass with a 49-50 cloture vote, a procedural requirement that needed 60 votes to move forward, with several Republicans opposing it.
Negotiators had put together over 600 pages of compromise text, but the ethics language aimed at preventing senior officials from maintaining business interests in cryptocurrency proved to be contentious.
Senator Elissa Slotkin, a Democrat from Michigan, stated she voted against the bill due to concerns that "the ethics provisions in this bill are simply too thin," referencing former President Donald Trump and his family profiting from cryptocurrency ventures.
She also highlighted that the Commodity Futures Trading Commission does not have sufficient staffing to enforce the law and noted the bill's shortcomings regarding money laundering and terrorism financing.
Today, I voted no on the Clarity Act, legislation meant to regulate cryptocurrency in America.
— Sen. Elissa Slotkin (@SenatorSlotkin) September 15, 2026
The ethics provisions in this bill are simply too thin. President Trump, his children, and his Cabinet are making billions of dollars in the crypto space, in part from bilking everyday…
Crypto stocks were hit harder than the tokens, with Coinbase dropping nearly 9% to $174.42 and Circle falling over 9% to $88.26. Galaxy Digital and Gemini lost 8% and 7%, respectively. Other firms like Bullish and Riot Platforms each fell by 5%, while eToro dropped 4%, and Robinhood, MARA Holdings, CleanSpark, IREN, and Core Scientific saw declines between 3% and 4%.
Focus now shifts to the regulatory bodies that the bill aimed to address.
The Securities and Exchange Commission is already formulating its proposed Reg Crypto framework and regulations for tokenized securities, which now represents the only path towards the certainty the industry sought from Congress.
Political action committees within the industry, such as Fairshake, will need to determine how to engage with the senators who voted against the bill ahead of the upcoming Nov. 3 elections, with a new Congress set to convene in January 2027.
The Federal Reserve is set to announce its interest rate decision later on Wednesday, with traders anticipating a quarter-point hike, amidst a market still reeling from the legislative setback and already reducing risk exposure.
Read More: Inside the last-minute political breakdown that doomed the Clarity Act vote
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By CoinDesk ResearchAug 27, 2026Tokenized equities lead RWA inflows as the market recovers; Binance's bStocks hit ~$118.5M in two months, now #2 issuer and ~90% of on-chain equity DEX volume.
Why it matters:
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