Bitwise CIO: Crypto Industry Will Keep Growing Even If The CLARITY Act Doesn't Pass This Week

August 5th, Bitwise Chief Investment Officer Matt Hougan stated that even if the "CLARITY Act" did not pass this week, the crypto industry would continue to move forward. The U.S. Senate will adjourn from August 10th to September 11th, leaving only about a 3-day window for the bill to advance before lawmakers leave.

Hougan believes that if Congress fails to pass the bill, the U.S. Securities and Exchange Commission may address several issues through rulemaking. Rules proposed by the SEC led by Paul Atkins in the short term may be more favorable to the crypto industry and innovation than a bipartisan bill, but the risk is that a future administration may appoint an SEC chair with a different stance and overturn the policies.

He stated that if the bill is not passed this week, it will enter a "zombie" state, possibly postponed for deliberation until the fall or winter of 2026, or it may be included in an end-of-year omnibus bill. Long-term uncertainty will continue to impede significant institutional investment in the crypto market. Polymarket data shows that the probability of the bill being signed into law by the end of 2026 is currently 23%, lower than the approximately 75% level in mid-May.

Hougan still believes that Congress should pass the bill, stating that although it is not perfect, it helps protect investors, improve ethical standards, drive U.S. economic growth, and enhance America's competitiveness in the realm of on-chain finance.