The 'Clarity Act,' aimed at establishing a regulatory framework for virtual assets in the U.S., failed to pass in the Senate, leading to a significant drop in major cryptocurrency prices.
According to CoinMarketCap, as of 8 a.m. on September 16, Bitcoin was trading at $75,692, down 3.56% from the previous day.
Altcoins experienced even steeper declines. Ethereum fell 5.09% to $2,399, while Ripple (XRP) plummeted 10.09% to $1.28. Solana dropped 5.52% to $97.12, and Binance Coin (BNB) decreased by 1.12% to $713.18.
The downturn in the cryptocurrency market is attributed to the Senate's failure to advance the Clarity Act. On September 15, the Senate held a procedural vote to begin discussions on the bill, but it received only 49 votes in favor and 50 against, failing to secure the necessary support for further consideration.
The Clarity Act, which seeks to clarify the legal status and jurisdiction of virtual assets, was expected to expedite the integration of the cryptocurrency industry into the regulatory framework.
However, concerns over potential conflicts of interest involving the Trump family's cryptocurrency business and issues surrounding strengthened ethics regulations led to a lack of consensus between parties, resulting in the vote's failure. This has negatively impacted not only Bitcoin and other cryptocurrencies but also related stocks such as Coinbase.
With Congress set to recess ahead of the midterm elections in November, the prospects for the Clarity Act's passage this year have become increasingly uncertain.
Meanwhile, in the domestic market, Bitcoin also showed weakness. At 8 a.m. on the same day, Bitcoin was trading at 10,296,200 won on Bithumb, down 0.94% from the previous day. The 'Kimchi Premium,' which indicates the price difference between domestic and international markets, was recorded at -0.25%.
* This article has been translated by AI.
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