The U.S. crypto industry is assessing its next steps after the Digital Asset Market Clarity Act failed to advance in the Senate, falling short of the 60 votes required for the procedural motion.

The vote marked a setback for efforts to establish a comprehensive federal framework for digital-asset markets. Still, executives across the sector said the outcome does not bring regulatory activity in Washington to a halt.

The SEC and CFTC can continue pursuing rules and guidance under their existing authorities. Several industry figures, however, stressed that agency action is different from legislation because future administrations can modify or reverse regulatory policies without Congress passing a new statute.

That question of durability was a recurring theme in industry responses. Others highlighted Europe, where the Markets in Crypto-Assets Regulation has provided a unified framework since December 2024.

Ripple Says Regulatory Work Can Continue

Ripple CEO Brad Garlinghouse described the Senate outcome as disappointing after what he said was extensive work by the company and the wider crypto industry.

Garlinghouse said the legislation offered an opportunity to establish clearer protections and rules for consumers while supporting U.S. competitiveness.

He called for an examination of the reasons behind the bill’s failure and criticized Democrats over their opposition to the measure.

At the same time, Garlinghouse said regulatory developments at the SEC and CFTC could continue. He pointed to SEC Chair Paul Atkins and CFTC Chair Brian Selig as officials who can advance rules addressing some of the industry’s outstanding concerns.

Garlinghouse also said Ripple’s business remains strong, with continued demand from traditional financial institutions and digital-asset companies. He said the Senate vote had not altered Ripple’s global operations or customer activity.

Enso Focuses on the Durability of Rules

Enso co-founder and CEO Connor Howe said the Senate vote does not reverse regulatory work that was already in progress.

Howe cited Selig’s direction to CFTC staff to prepare a market structure framework using authority under the Commodity Exchange Act. He also referenced the SEC’s Regulation Crypto Assets proposal, which entered the public-comment process in August.

For Howe, the central issue is how long such rules would remain in place. An incoming agency chair can revise an agency rule, while statutory requirements generally require another act of Congress to change.

Howe also pointed to the proposed Section 1960 protections for developers who do not take control of customer funds, arguing that legislation would have offered a more durable form of protection.

Two Prime Sees Continued Uncertainty

Alex Blume, founder and CEO of Two Prime, said the vote removes the near-term possibility of comprehensive crypto legislation.

Blume argued that continued uncertainty could make other jurisdictions more attractive to digital-asset businesses. He referenced the FTX collapse when discussing the risks associated with offshore structures and said clearer U.S. rules could help legitimate companies operate domestically.

He also said the broad range of crypto projects can make it difficult to distinguish speculative activity from financial applications such as stablecoins.

According to Blume, SEC and CFTC rulemaking could address some of the gaps left by Congress, including questions about regulatory jurisdiction and stablecoin treatment. He cautioned that agency policy could change with a future administration.

Hilbert Group Says Markets Had Priced in the Risk

Hilbert Group CEO Barnali Biswal said the Senate vote was unlikely by itself to trigger a steep market sell-off because prediction markets had already assigned a significant probability to the legislation failing.

Instead, Biswal focused on the loss of legislative momentum.

She also highlighted opposition from major banking trade groups to provisions concerning stablecoin yields. In her view, the unresolved market structure debate leaves institutional investors dealing with a fragmented regulatory system.

Strategy Highlights Bitcoin’s Existing Status

Strategy, led by Michael Saylor, took a different approach, emphasizing that Bitcoin already has several forms of regulatory and tax treatment in the United States.

The company pointed to the CFTC’s classification of bitcoin as a commodity, the IRS treatment of bitcoin as property, SEC approval of spot bitcoin products and FASB accounting treatment recognizing bitcoin as a GAAP asset.

tZERO Says the Market Is Still Moving

tZERO CEO Alan Konevsky said the Senate vote does not alter what he described as an ongoing structural shift toward regulated digital-asset markets.

Konevsky cited proposed SEC and CFTC rules as evidence that regulatory development is continuing outside Congress.

He also said institutional adoption is likely to continue as regulated digital-asset infrastructure becomes increasingly available.

Cardano Foundation Points to MiCA

Cardano Foundation CEO Frederik Gregaard pointed to Europe’s MiCA framework as a contrast with the U.S. regulatory environment.

He said European companies have been operating under defined rules since December 2024, while U.S. lawmakers have yet to establish a comparable framework covering the wider digital-asset market.

Gregaard said blockchain development would continue because of its practical applications and noted the importance of regulatory certainty for companies building in the sector.

Chainlink Calls for Clearer Rules

Katherine Kirkpatrick Bos, head of legal at Chainlink Labs, said the Senate result underscored the need for regulatory clarity rather than eliminating it.

She said clearer rules are important for consumers, institutional participation and the United States’ position in financial markets.

Kirkpatrick Bos added that Chainlink Labs would continue engaging with lawmakers on digital-asset legislation.

NEAR Warns of Longer Planning Delays

NEAR Chief Legal Officer Abhishek Vaidyanathan said the next Congress could provide another opportunity to pursue market structure legislation.

He noted that the House canceled its weeks beginning Sept. 21 and Sept. 28, while the Senate’s state work period begins Oct. 5, leaving limited legislative time before the Nov. 3 election.

Vaidyanathan said the absence of legislation would leave businesses relying heavily on agency interpretations and administrative decisions. He argued that this could complicate legal planning and 2027 budgeting.

He also compared the U.S. approach with MiCA and said the Clarity Act would have supplied broader statutory certainty for digital assets, similar in principle to the statutory framework established for stablecoins through GENIUS.

Matter Labs Sees Banking Projects Continuing

Vassilis Tziokas, VP of growth at Matter Labs, said the Senate vote affects the legislative timetable but not the development of blockchain-based financial infrastructure.

He pointed to banks developing tokenized deposit networks designed to move dollars onchain while keeping deposits on bank balance sheets and operating under existing regulations.

Tziokas said these systems can support applications including intraday repo, weekend collateral movements and tokenized securities, while privacy is becoming an increasingly important requirement.

He cited JPMorgan’s deposit token, Citi’s tokenized payment initiatives and blockchain projects involving regional and community banks. He also said Cari had raised more than $30 million with backing entirely from banks.

With congressional legislation stalled, Tziokas expects regulators to play a larger role through SEC and CFTC rulemaking and banking guidance.

GSR Expects Greater Focus on Regulators

Joshua Riezman, chief legal and strategy officer at GSR, said the Senate’s failure to advance comprehensive market structure legislation puts greater attention on federal regulators.

He said the industry will continue looking to the SEC, CFTC and other agencies for rules and guidance.

Riezman also noted that other jurisdictions may advance their digital-asset frameworks while the U.S. continues working through its legislative process.

The responses from industry executives differ on the significance of the vote, but several point to the same unresolved questions: how much regulatory progress agencies can deliver without Congress, how durable those rules will be and how U.S. policy compares with established frameworks in other jurisdictions.