Updated Crypto Clarity Act Draft Adds DeFi and Credit Union Rules

An updated draft of the U.S. Crypto Clarity Act is circulating among lawmakers just days before a crucial Senate vote scheduled for September 15, 2026, introducing new requirements for DeFi protocols and credit unions.

The revised bill, as reported by journalists, includes a test to define decentralized finance. A DeFi app would fail this test if a person can control or materially alter its functionality, if it does not run solely on pre-established transparent rules, or if someone can restrict or censor its use. Non-decentralized protocols would be required to register with the Commodity Futures Trading Commission (CFTC).

The draft also clarifies that federal credit unions are authorized to use digital assets or distributed ledger technology for any activity they are otherwise permitted to perform by law. The legislation aims to create a formal framework for dividing regulatory oversight between the CFTC and the Securities and Exchange Commission (SEC) for different digital assets.

The bill, which passed the House of Representatives in July 2025, has faced delays and is not yet bipartisan. Senate Republicans began circulating the latest version on Thursday. President Donald Trump has recently urged lawmakers to pass the legislation to maintain U.S. leadership in the crypto sector.