The Real Reason the Clarity Act Failed
September 17, 2026
Onramp Media's The Last Trade argues the Clarity Act's Senate failure reflects the banking lobby's fear of deposit flight to stablecoins, not the ethics dispute cited publicly. The hosts also cover an emerging oil shock, a possible Fed rate hike, and note Strategy's roughly $950 million STRC buyback alongside Satsuma's sale of 669 BTC.
The Clarity Act failed its Senate cloture vote, and Brian argues the ethics fight reads as cover for the banking lobby's fear of deposit flight, a fear a late Treasury circuit breaker did not settle. Michael points to the GENIUS Act already on the books and to bank custody rules as the piece to watch, while Jackson reads Deutsche Bank's planned custody service for institutions as proof the build continues regardless. The middle of the episode follows the oil shock, from Saudi Arabia canceling late September cargoes to Europe after the East West pipeline shut, to diesel prices and the hosts' expectation of the Fed's first rate hike in three years, and their case that 25 basis points would not fix anything structural. The back half covers consumers aged 40 to 49 taking the largest share of new bankruptcies since 2015, Strategy repurchasing roughly $950 million of STRC, Satsuma selling all 669 BTC, and a reported data exposure at Revolut affecting nearly 700 customers.
Chapters
00:00 - Housekeeping and the Philly happy hour 02:55 - The Clarity Act fails in the Senate 05:15 - Brian: the banking lobby and deposit flight 08:23 - Bankers, stablecoins and the circuit breaker fight 10:02 - The GENIUS Act and why adoption happens anyway 12:04 - Deutsche Bank plans Bitcoin custody for institutions 13:39 - Saudi Arabia cancels crude cargoes to Europe 16:19 - We feel acceleration, not speed 18:59 - How the chaos hides the $40 trillion debt 23:50 - The Fed, the bond market and a coming rate hike 28:37 - Consumer bankruptcies and the K-shaped economy 33:15 - Strategy's STRC buybacks and the treasury companies 40:45 - Can a Bitcoin treasury company beat Bitcoin? 43:28 - Satsuma sells all 669 BTC 44:17 - Single point of failure of the week: Revolut's data leak 52:52 - Pacing the frontier and the push to slow AI
Frequently Asked Questions
Why did the Clarity Act fail in the Senate?
The Last Trade's hosts argue the stated ethics dispute was cover for a deeper concern: banks fear the bill would accelerate deposit flight into stablecoins (05:15, 08:23).
What does Deutsche Bank's custody plan signal for bitcoin adoption?
Jackson reads Deutsche Bank's plan to launch bitcoin custody for institutional clients as evidence that banks keep building crypto infrastructure regardless of the Clarity Act's fate (12:04).
How does the episode connect the oil shock to the Fed?
The hosts trace Saudi Arabia's canceled crude cargoes and the East-West pipeline shutdown into diesel prices and their case for a coming Fed rate hike, arguing a 25-basis-point move would not fix the underlying structural pressure (13:39, 23:50).
What corporate bitcoin moves does the episode cover?
The Last Trade notes Strategy repurchasing roughly $950 million of STRC and Satsuma selling its full 669 BTC position, alongside a discussion of whether bitcoin treasury companies can outperform holding bitcoin directly (33:15, 40:45, 43:28).
This episode is editorial and educational content. Onramp does not provide tax, legal, or investment advice. Bitcoin is volatile and may lose value. Past performance does not guarantee future results.