Labor Unions Urge Senate to Block Crypto Bill Threatening Millions of Retirement Accounts
Updated
Updated · CNBC · May 12
Labor Unions Urge Senate to Block Crypto Bill Threatening Millions of Retirement Accounts
6 articles · Updated · CNBC · May 12
Thursday’s Senate Banking Committee vote on a crypto market-structure bill is facing new pressure after the AFL-CIO and four major unions urged senators to oppose it.
Millions of workers’ retirement accounts and public pensions could be exposed to added volatility, the unions said in a Friday letter and email warning the bill would let the crypto industry take outsized risks.
Democratic support remains uncertain even after months of bipartisan work, with security and ethics provisions still under scrutiny and final legislative text not released as of Monday evening.
The opposition now stretches beyond labor: banks are also fighting a provision they say could pull deposits away by letting crypto firms offer stablecoin payments resembling interest, though the industry says the draft would ban that.
Will new crypto legislation gamble with your retirement savings by encouraging riskier pension investments?
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As Washington pushes for crypto innovation, are we creating the conditions for the next financial crisis?
The Digital Asset Market CLARITY Act in Crisis: Labor Unions and Banks Unite Against Crypto Regulation Over Retirement Fears
Overview
In May 2026, the Digital Asset Market CLARITY Act faces strong opposition in the U.S. Senate, as organized labor launches a coordinated campaign against the bill and forms an alliance with traditional banks. This broad coalition, joined by a bloc of undecided Senate Democrats, creates a significant barrier to the Act’s passage. Although Chairman Scott could push the bill through committee with a narrow party-line vote, such a move would likely hurt its chances of reaching the 60 votes needed on the Senate floor. The situation highlights the complex political and industry dynamics shaping the future of crypto regulation.