Bessent Tells Senate Bitcoin Reserve Is Moving, Pushes CLARITY Act Before Recess
Treasury Secretary Scott Bessent told Senate lawmakers Wednesday that the government’s Strategic Bitcoin Reserve is progressing, even as a promised major announcement on the program remains outstanding, Benzinga reported.
Deliberate Speed on the Bitcoin Reserve
Bessent appeared before the Senate Finance Committee to outline the administration’s proposed 2027 budget. During the session he confirmed the Treasury is actively working on the Bitcoin reserve but admitted the mechanics are not straightforward.
He described the effort as moving forward with careful attention to best practices. The goal, he said, is to build something durable rather than rush a process that could prove difficult to unwind.
President Trump signed an executive order earlier this year establishing the reserve. It draws primarily on digital assets already in government hands through criminal and civil forfeiture proceedings, meaning no fresh taxpayer spending is required to seed it.
The Promised Announcement That Has Not Arrived
White House crypto advisor Patrick Witt pledged in April that a significant update on the reserve’s next steps would arrive within weeks. That announcement has yet to materialise, leaving markets without a concrete policy signal.
The silence matters because a formal Treasury statement would represent the most consequential bullish policy catalyst still available for the asset class this year.
CLARITY Act Faces a Narrowing Window
Bessent also pressed senators to advance the CLARITY Act before Congress breaks for its August recess. He framed regulatory clarity as essential to keeping the United States competitive as a hub for financial innovation.
The House passed the bill last year, but Senate progress has stalled. Disagreements centre on provisions related to stablecoin yield, software developer liability, and potential conflicts of interest tied to the president’s own crypto interests.
Time is shrinking. Once the recess ends, midterm election politics will dominate the legislative calendar through November, effectively closing the window for complex financial legislation.
Galaxy Digital Head of Research Alex Thorn puts the bill’s chances of passing this year at roughly 70%, according to Benzinga. He identified ethics provisions governing elected officials as the final significant hurdle before a floor vote.
Background: Why the Stakes Are High Now
The Bitcoin reserve debate is unfolding against a backdrop of sustained ETF outflows. More than $5 billion has left Bitcoin exchange-traded products over the past four weeks, according to Benzinga’s data. That capital flight has weighed on sentiment even as the administration reaffirms its pro-Bitcoin posture.
Passage of the CLARITY Act would remove a layer of regulatory uncertainty that has kept a segment of institutional investors on the sidelines. A concrete reserve announcement would add a separate demand signal. Both remain open questions heading into summer.
Read Next: What the CLARITY Act Means for Institutional Crypto Adoption
