Crypto Market Update: CLARITY Act Faces Over 100 Amendments Ahead of Vote

Altcoin price update

• XRP (XRP) was priced at US$1.46, down by 1.2 percent over 24 hours.

• Solana (SOL) was trading at US$94.77, trading 2.3 percent lower over the past 24 hours.

Today’s crypto news to know

CLARITY Act markup faces over 100 amendments ahead of vote

The US Senate Banking Committee will convene on Thursday (May 14) to review more than 100 proposed amendments to the CLARITY Act. Ahead of the decisive vote, the revised 309 page draft faces significant scrutiny from Democratic lawmakers, with Senator Elizabeth Warren alone introducing over 40 distinct modifications.

A primary point of contention remains the regulatory treatment of yield-bearing stablecoins. Senators Jack Reed and Tina Smith have proposed tighter restrictions on crypto assets that function similarly to traditional deposit accounts, a move heavily backed by recent lobbying efforts from the American Bankers Association.

The banking sector contends that allowing crypto issuers to distribute reserve-backed rewards threatens the traditional deposit base. The markup session will also consider ethical provisions, including a proposal by Senator Chris Van Hollen to bar senior government officials from holding crypto assets.

While proponents argue the bill provides necessary regulatory certainty, industry figures have expressed skepticism, noting that macroeconomic liquidity remains the primary driver of digital asset valuations.

JPMorgan files for Ethereum-based tokenized money market fund

JPMorgan Chase (NYSE:JPM) has filed with the US Securities and Exchange Commission to launch the JPMorgan OnChain Liquidity-Token Money Market Fund (JLTXX), expanding the bank’s digital asset footprint.

The fund will be powered by JPMorgan’s Kinexys Digital Assets unit and will operate on a permissioned system built atop the public Ethereum blockchain. JLTXX is structured to invest exclusively in US treasury bills, bonds and notes.

The regulatory filing explicitly outlines distinct risks associated with the offering, including potential undiscovered technical flaws in the blockchain architecture and evolving regulatory frameworks. While Ethereum serves as the initial underlying network, the bank indicated that expansion to alternative blockchains is anticipated.

This initiative follows the bank’s collaboration with Ondo Finance to settle tokenized treasuries on the XRP Ledger.