gate.com · September 9, 2026
Coinbase Remains Cautiously Optimistic on CLARITY Act Cloture Vote | Gate News
# Coinbase Remains Cautiously Optimistic on CLARITY Act Cloture Vote
EthanBrooks
2026-09-09 08:57:09
Key Takeaways
- Coinbase policy chief Faryar Shirzad remains cautiously optimistic the CLARITY Act clears Senate cloture vote on September 15. - Trump's reported $1.4 billion income from crypto ventures intensifies ethics language disputes over proposed regulatory framework. - Regulators would implement over 100 individual rules through agency action if the CLARITY Act fails at procedural stage.
Coinbase policy chief Faryar Shirzad told crypto advocate Scott Melker that he remains cautiously optimistic the CLARITY Act can clear a critical Senate procedural cloture vote scheduled for September 15, with Democratic support essential since Coinbase does not assume all 53 Senate Republicans will back the bill. Shirzad identified the ethics language connected to President Trump's crypto holdings as the single biggest risk to the bill's advance, as Senate Democrats argue proposed ethics provisions fall short while Republicans maintain the legislation already contains meaningful safeguards. The bill would split oversight of digital assets between the SEC and CFTC and bar government officials, including Trump, from operating crypto businesses, according to Reuters reporting, with Trump having reported more than $1.4 billion in income from his family's crypto ventures last year.
## Coinbase Expects Democratic Votes Essential for 60-Vote Cloture Threshold
Coinbase is not assuming all 53 Senate Republicans will back the CLARITY Act, which means Democratic votes are essential to reach the 60-vote cloture threshold on September 15. The vote in question is a cloture motion on the bill's path to full Senate consideration, not a final passage vote. Clearing cloture opens debate and amendments, but the bill still needs to survive a later floor vote before it becomes law. Shirzad described the years the industry has spent building bipartisan support as finally putting comprehensive Senate crypto regulation within reach, calling the legislative package a powerful one. He laid out two possible outcomes on September 15: the bill stalls just short of 60 votes, or enough Democrats cross over to trigger what Washington insiders term a jailbreak, where additional undecided senators feel safe voting yes once bipartisan momentum is visible.
## Ethics Language on Trump Crypto Holdings Identified as Biggest Risk
Shirzad identified the ethics language connected to President Trump's crypto holdings as the single biggest risk to the bill's advance. Senate Democrats continue to argue that the proposed ethics provisions fall short, while Republicans maintain that the legislation already contains meaningful safeguards. Per Shirzad, the White House has accepted restrictions that apply specifically to the president, but Democrats may still demand further concessions before supplying the votes needed for cloture. Trump reported more than $1.4 billion in income from his family's crypto ventures last year, according to Reuters, which is precisely why the ethics carve-outs have become the bill's most contested section. Democrats have pushed for stronger anti-money-laundering controls and for state attorneys general to have independent enforcement power over the presidential ban, per Reuters. Remaining disputes over DeFi provisions and exchange rules are, in Shirzad's view, more likely to get resolved than the ethics standoff.
## Stablecoin Banking Provisions Face Community Banker Opposition
Stablecoin-related banking concerns add another layer of friction on the Republican side. Community bankers have lobbied against provisions letting exchanges pay rewards on stablecoin holdings, arguing it would pull deposits away from traditional lenders. Shirzad expects the White House to push lawmakers toward a compromise on that front, a dynamic that has already shaped how the industry frames the bill's impact on bank deposits.
## Shirzad Outlines Regulatory Fallback if Bill Fails Cloture
Failure at the procedural stage would not stop crypto regulation, according to Shirzad, who argued regulators would move to implement well over 100 individual rules through agency action to replicate much of the framework Congress failed to pass. He expects crypto's integration with traditional finance to keep advancing regardless, through tokenization, stablecoins, perpetual futures, and 24/7 markets. This is the CLARITY Act outcome Coinbase is positioning itself for by building toward a wider financial platform spanning investing, lending, and borrowing across asset classes.
## Kalshi Traders Assign Low Probability to Crypto Legislation This Year
Kalshi traders have assigned a low probability to major crypto legislation becoming law this year. A signal worth weighing against Coinbase's public optimism heading into September 15. Traders positioning around the vote should treat September 15 as a gauge of momentum, not a resolution. A cloture win still leaves debate, amendments, and a final floor vote ahead.
## FAQ
What is the CLARITY Act cloture vote scheduled for September 15? The September 15 vote is a cloture motion requiring 60 votes to advance the CLARITY Act to full Senate consideration, not a final passage vote. Coinbase policy chief Faryar Shirzad told crypto advocate Scott Melker that Democratic support is essential to reach the threshold, as Coinbase does not assume all 53 Senate Republicans will back the bill.
Why did Shirzad identify ethics language on Trump crypto holdings as the biggest risk? Shirzad identified the ethics language connected to President Trump's crypto holdings as the single biggest risk because Senate Democrats argue proposed ethics provisions fall short, while Republicans maintain the legislation already contains meaningful safeguards. Trump reported more than $1.4 billion in income from his family's crypto ventures last year, according to Reuters, making the ethics carve-outs the bill's most contested section.
What did Shirzad say would happen if the CLARITY Act fails at the procedural stage? Shirzad argued that failure at the procedural stage would not stop crypto regulation, as regulators would move to implement well over 100 individual rules through agency action to replicate much of the framework Congress failed to pass. He expects crypto's integration with traditional finance to keep advancing regardless, through tokenization, stablecoins, perpetual futures, and 24/7 markets.