The US Senate is set to advance the Digital Asset Market CLARITY Act with a committee markup scheduled for the second half of April. Senator Cynthia Lummis has indicated that the final legislative text could be released soon, marking the culmination of extensive negotiations. The bill, which has undergone significant revisions, aims for final passage by May. Key changes in the CLARITY Act include a ban on passive yield for stablecoin balances, aligning with banking sector demands. Instead, the bill will permit limited, activity-based rewards. This compromise sacrifices broader yield distribution to secure bipartisan support. Additionally, the bill strengthens protections for decentralized finance (DeFi), ensuring developers and non-custodial protocols are not classified as financial intermediaries. The legislation maintains its core structure, delineating regulatory authority between the Commodity Futures Trading Commission and the Securities and Exchange Commission. However, Senator Bernie Moreno has cautioned that failure to pass the bill by May could delay digital asset legislation until after the 2026 midterm elections.