The CLARITY Act Vote Is 10 Days Away. The Odds Are 15%.
The Senate votes on the CLARITY Act in 10 days with Polymarket giving 15% odds. Strategy bought back $635M in stock instead of Bitcoin.
By Lantern Finance
Hey Lantern Community,
The Senate votes on the CLARITY Act in 10 days. Polymarket gives it 15% odds. Strategy spent $635 million buying back its own stock instead of buying Bitcoin. And BTC just entered what traders call "Rektember." A lot moved. Here's what matters.
The CLARITY Act vote is Sept 15. Here's where it stands.
The Senate's first procedural vote on the CLARITY Act is scheduled for 2:15pm ET on Tuesday, September 15. That's 10 days from now. Senator Thune filed cloture before recess, and the Senate returned this week.
The bipartisan negotiating group (Cortez Masto, Alsobrooks, Booker, Gallego, Hickenlooper, Warner, Warnock) spent August saying the draft still falls short on ethics, private right of action, and DeFi sanctions.
Polymarket has passage before January 1 at roughly 15%. That's down from 50% in late July and 30% in mid-August. The trend is going the wrong direction for the bill's supporters.
The Sept 15 vote is a cloture motion, not final passage. If it fails, the bill is effectively dead for 2026. If it passes, the actual debate and amendment process begins.
Strategy bought back $635M of its own stock instead of Bitcoin
Strategy spent $635 million repurchasing shares of STRC, its perpetual preferred stock, which is trading at $97.34, below its $100 par value.
This is notable because Strategy's whole thesis is buying Bitcoin with borrowed money. When the company spends $635M on stock buybacks instead of BTC, it's a signal. The preferred stock is trading below par, which means the market doesn't trust the structure as much as Strategy hoped. Strategy still holds 845,050 BTC. Its last Bitcoin purchase was 4,603 BTC for $370M on August 31.
BTC ETFs are bleeding, XRP ETFs are eating
Spot Bitcoin ETFs recorded $236.5 million in net outflows on September 2, the first trading day of the month. That's a rough start after August's $3.5 billion in inflows, the best month since November 2024.
September has historically been Bitcoin's weakest month. The average return is roughly negative 3%. Traders call it "Rektember" for a reason.
Meanwhile, spot XRP ETFs are running the other way. 11 straight sessions of inflows since August 18, about $170 million over the streak, with $14.38 million landing on Tuesday alone.
Lantern Spotlight: Product Updates
In August, we shipped several updates to make Lantern faster, easier to use, and more flexible:
Faster USDC funding:
USDC loan disbursements are now instant, helping make funding more reliable.
Improved deposits and account connections:
We improved the Mesh setup flow and added Mesh into the trading deposit experience, making it easier to connect accounts and fund activity.
Updated loan experience:
We redesigned the LTV calculator, improved loan timelines, refreshed the loan page, and added a new Activity section to make account details easier to understand and track.
We have even bigger product updates coming next month.
The CLARITY Act vote is the biggest regulatory event of the year, and it's 10 days out. Strategy is managing its balance sheet instead of just buying BTC. And September is living up to its reputation.
If you're holding through the volatility and want liquidity without selling, Bitcoin-backed loans at Lantern start at 8%, funded same-day including weekends.
Borrow against your crypto here: https://lantern.finance/borrow
Until next week,
The Lantern Team
