Sen. Cynthia Lummis said the CLARITY Act could create the legal framework for U.S. banks to hold digital assets, including Bitcoin.

CoinGape reported on September 15 that Lummis made the remarks in an interview with Bloomberg Crypto. She said the bill could ease restrictions on banks' digital-asset holdings and that Bitcoin would rise sharply if it passes.

The CLARITY Act, a U.S. bill on digital-asset market structure, would explicitly allow federally chartered banks to engage in digital-asset-related activities including custody, lending and brokerage. It also would allow banks to hold digital assets on their own books to the extent needed for permitted banking activities such as risk management and liquidity management.

The U.S. Senate is scheduled to hold a cloture vote on the CLARITY Act on September 15. The vote is not on final passage, and the bill needs 60 votes to advance. Republicans hold 53 seats, meaning at least seven Democrats would need to support it.

Democrats are seeking additional revisions, saying the bill lacks sufficient ethics provisions to limit crypto-related conflicts of interest involving public officials and their families. Parts of the banking industry have also raised concerns about the bill's stablecoin provisions, leaving the outcome uncertain.