The Senate’s failure to advance the CLARITY Act left existing Bank Secrecy Act obligations unchanged for covered U.S. crypto businesses, including customer identification, beneficial-ownership checks, sanctions screening, anti-money-laundering controls, wallet screening, transaction monitoring and suspicious activity reporting. Fernando Castellanos, Prove Global Head of Digital Assets and Sponsor Banks, said the bill focused mainly on market structure and would have clarified federal regulatory responsibility rather than replaced those requirements. The Senate rejected cloture on Sep. 15 on the motion to proceed with H.R. 3633, the House version of the Digital Asset Market Clarity Act, by 49 votes to 50, falling 11 votes short of the 60 needed to begin debate. The procedural vote was not final, and seven Democratic senators said bipartisan negotiations would continue, although no second vote has been scheduled. Two days after the failed vote, the SEC and CFTC began developing as much of the crypto industry’s rulebook as their existing authority permits, while a bipartisan coalition of state attorneys general told the Senate Banking Committee that the bill would displace state securities-market oversight. Castellanos said faster, harder-to-reverse blockchain transactions require continuous risk monitoring, including for self-custodial wallets, decentralized finance and AI agents.