Crypto Monday: Clarity Act Keeps Becoming a Harder Vote For Democrats

Research evidence excerpt

Crypto Monday: Clarity Act Keeps Becoming a Harder Vote For Democrats

TD Securities (USA) LLC POLICY NOTE

May 26, 2026

■WRG Crypto Currency Crypto Monday: Clarity Act Keeps Becoming a

■WRG Financial Services

Harder Vote For Democrats

Jaret Seiberg THE TD COWEN INSIGHT

202 868 5313

We start each week with a focus on crypto policy. Our Crypto Monday (Tuesday) note today

jaret.seiberg@tdsecurities.com

looks at how news flow involving President Trump and his administration keep making it

harder for Democrats to vote for the Clarity Act on crypto market structure despite bipartisan

support for much of the package. This news flow is sapping the momentum Clarity got from its

bipartisan Senate Banking vote.

The political environment is getting worse for the Clarity Act.

■The President settled a legal case against the IRS for $1.776 billion, which will be distributed

to those who claim they were harmed by government overreach. We have never seen a

taxpayer-funded fund like this, which seems aimed at the President's supporters. It also

establishes a precedent for future Presidents to sue the government and then settle in a way

that can be used to reward supporters. The bipartisan political reaction to this was already

significant but it became even greater after it was revealed that the agreement also bars

the IRS from every auditing the President or his businesses.

■The New York Times on Sunday published a story looking at how prediction market and

crypto interests have pushed their agenda with the CFTC, which has sidelined seasoned

regulators to ensure the agency supported these sectors. The New York Times then notes

how the Trump family has deep ties to crypto and prediction market companies. The