**CLARITY May Get a Vote, but Don’t Get Your Hopes Up Yet**
The Clarity Act (CLARITY), a proposed piece of legislation aimed at regulating digital assets in the United States, is facing significant hurdles as the August recess deadline approaches. Despite President Donald Trump’s support for an ethics deal related to digital assets, the bill is struggling to gain the necessary votes for passage.
### Current Status of the Clarity Act
Senate Majority Leader John Thune has expressed doubts about the bill’s ability to pass, citing a lack of sufficient votes. However, he has indicated a willingness to bring the act to a vote to “get Clarity started,” with the outcome remaining uncertain. The ethics deal includes provisions that would prohibit U.S. officials from issuing or sponsoring digital assets. However, it contains controversial “get out of jail free” clauses for the President, which have drawn criticism from Democrats. These clauses allow the rules to expire on the day Trump is scheduled to leave office in 2029.
The enforcement of these ethical provisions is another contentious issue. Democrats prefer state Attorney Generals to enforce the rules, but Trump is unlikely to agree to this, preferring the Attorney General he appointed to handle enforcement.
### Industry and Political Reactions
Goldman Sachs CEO David Solomon has acknowledged that the bill is “not perfect” but has supported it, a stance echoed by major financial institutions like Fidelity and Charles Schwab. Law enforcement organizations, including the National Fraternal Order of Police, have also shown support, stating that the bill would not impede investigations into money laundering and fraud.
Despite these endorsements, the bill’s future remains uncertain. The odds of the bill passing this year are currently 38% on Polymarket, reflecting the ongoing skepticism and lack of consensus.
### BitMEX Shuts Down After 11 Years
In other news, BitMEX, one of the pioneering cryptocurrency derivatives exchanges, has announced it will shut down operations in September after 11 years. BitMEX launched in 2014 and was known for introducing 100x leverage perpetual swaps. However, recent years have seen a decline in trading volumes due to increased competition from major exchanges like Binance and decentralized protocols like Hyperliquid.
The shutdown marks the end of an era for BitMEX, which has been a significant player in the cryptocurrency derivatives market. The decline in its utility token, BMEX, and the launch of a class action lawsuit accusing the platform of fraudulently engineering customer liquidations have further complicated its exit.
### S&P Launches Blockchain Fundamentals Index
S&P Dow Jones Indices and Pantera Capital have launched a new digital asset index, the S&P Pantera Digital Asset Index. This index tracks major crypto assets but excludes Bitcoin and XRP. Designed to be a benchmark for institutions, the index includes 18 constituents, with Ether (ETH), BNB (BNB), Solana (SOL), TRON (TRX), and Hyperliquid (HYPE) as its largest holdings.
This move is part of a broader industry effort to develop institutional-grade benchmarks for digital assets, joining similar products like the Nasdaq Crypto Index US ETF and the Franklin Crypto Index ETF.
### Robinhood Expands Prediction Markets
Robinhood is reportedly in talks with Crypto.com to expand its prediction markets offerings. The integration would involve yes-or-no event contracts supplied by Crypto.com. Robinhood initially launched its prediction markets in March 2025, facilitated by Kalshi to comply with CFTC regulations.
Meanwhile, the CFTC has issued a warning to prediction market providers, urging them to be more specific about event contract certifications. Carl Kennedy, a partner at Katten Muchin, noted that the CLARITY Act could aid the CFTC’s regulatory efforts.
### Balaji’s Network School Moves to Kazakhstan
Balaji Srinivasan’s Network School is planning to establish a new campus in Kazakhstan after its Forest City campus in Malaysia had its business license revoked. The move is seen as a strategic shift to continue the school’s mission of creating a digital nomad community.
### Winners and Losers
At the end of the week, Bitcoin (BTC) is trading at $65,395, Ether (ETH) at $1,958, and XRP (XRP) at $1.11, with a total market cap of $2.24 trillion. Among the top 100 cryptocurrencies, Audiera (BEAT), Shinba Inu (SHIB), and Venice Token (VVV) were the biggest winners, while DeXe (DEXE), Midnight (NIGHT), and Pyth Network (PYTH) were the biggest losers.
### Prediction of the Week
Bitcoin is “finally showing signs of a bottom,” according to Matt Hougan, chief investment officer at Bitwise. Hougan predicts that TradFi integrations, particularly Hyperliquid and Robinhood, will drive the next crypto bull market, lifting major cryptocurrencies like Bitcoin and Ether.
### Top FUD of the Week
Home invasions have become the most common form of crypto wrench attacks in the first half of 2026, according to CertiK. These attacks have risen to 20 incidents, up from one a year earlier, with a total financial exposure of $124.1 million.
Hackers also stole $31.6 million across two unrelated crypto bridge attacks within 7 hours, highlighting ongoing security vulnerabilities in decentralized bridges.
### Conclusion
The Clarity Act faces significant challenges as it moves towards a potential vote, with political and regulatory hurdles still to overcome. Meanwhile, the cryptocurrency landscape continues to evolve, with major exchanges shutting down, new indices launching, and regulatory bodies issuing warnings. Investors and industry participants will need to stay informed and adaptable as these developments unfold.
### FAQ
**What is the Clarity Act?**
The Clarity Act is a proposed U.S. legislation aimed at regulating digital assets. It includes provisions to prohibit U.S. officials from issuing or sponsoring digital assets, but contains controversial clauses that allow the President to bypass certain rules.
**Why is the Clarity Act facing delays?**
The Clarity Act is facing delays due to a lack of sufficient votes in the Senate. Senate Majority Leader John Thune has expressed doubts about its passage but is willing to bring it to a vote to gauge support.
**What is BitMEX shutting down?**
BitMEX, a pioneering cryptocurrency derivatives exchange, is shutting down after 11 years due to increased competition and a decline in trading volumes.
**Why did Balaji’s Network School move to Kazakhstan?**
Balaji’s Network School moved to Kazakhstan after its Forest City campus in Malaysia had its business license revoked over alleged premises-use violations.
**What are the top FUDs of the week?**
The top FUDs include home invasions becoming the most common form of crypto wrench attacks and hackers stealing $31.6 million across two unrelated crypto bridge attacks within 7 hours.
