- Coinbase CEO Brian Armstrong backs the CLARITY Act, calling it a “freight train” for crypto.
- The bill defines digital assets, stablecoins, and exchange rules, ending regulatory ambiguity.
- With bipartisan support, the CLARITY Act could reshape U.S. crypto markets before year-end.
Coinbase CEO Brian Armstrong stated that the Digital Asset Market Clarity Act could reshape the U.S. crypto market. In a meeting at DC, Armstrong termed the Act as “freight train”, stating that the bill has strong bipartisan support and offers the clearest path yet for long-term crypto regulation in the United States.
The bill could end years of regulatory uncertainty, seeking to replace enforcement-driven actions with proactive rules. This moment marks a turning point: the U.S. can either embrace crypto as serious financial infrastructure or continue losing innovators abroad.
Armstrong Pushes for Market Structure Reform
Armstrong stated that he met senators from both parties, hoping to pass the Act soon. The CLARITY Act aims to define whether digital assets are securities or commodities and sets clear guidelines for stablecoins, exchange registrations, and oversight responsibilities.
In a video posted to X, Armstrong stated that the passing of the bill would ensure crypto development in the nation and emphasized innovation, consumer protection, and preventing regulators from overreaching.
Armstrong highlighted past attempts by banking groups to restrict stablecoin interest products. Notably, the GENIUS Act tried to ban stablecoin interest, but lawmakers rejected the effort.
Other industry leaders, which include Ripple, Circle, Kraken, Cardano, and venture firms like a16z, participated in the Washington meetings, pressuring legislators to safeguard constructors and ensure fair competition. Kraken CEO Arjun Sethi stressed the need to prioritize developers of protocols and tokens, not just incumbents.
Wider Legislative Push on Digital Assets
The CLARITY Act is part of a broader legislative wave. In July, the U.S. House passed three key crypto bills, such as the GENIUS Act, the CLARITY Act, and the Anti-CBDC Surveillance State Act. These measures seek to provide long-term clarity for stablecoins, market structure, and central bank digital currency oversight.
The CLARITY Act now moves through the Senate, and Senator Cynthia Lummis predicted the bill could reach the President’s desk before year-end. Armstrong confirmed senators were already trading draft versions of the bill. Industry input will shape the final text before a Senate vote.
Related: Senate Crypto Bill Ensures Tokenized Stocks Remain Securities
Momentum for digital asset legislation has grown as crypto adoption expands. The total market capitalization of cryptocurrencies recently crossed $4 trillion. Moreover, broader adoption is also visible with banks like New York Mellon offering crypto services. Also, luxury brands such as Ferrari also accept cryptocurrency payments. These moves show crypto moving into mainstream commerce.
Lawmakers also discussed the Bitcoin Reserve proposal this week. Eighteen Bitcoin leaders, including Michael Saylor, met with Congress and pitched the Bitcoin Act, sponsored by Senator Lummis. The proposal calls for the U.S. government to acquire one million Bitcoin over five years. Supporters argue the plan could be budget-neutral using tariff revenues and gold certificate adjustments.
On the global side, there have been several developments. The EU has advanced strict anti-money laundering rules for crypto firms, requiring the collection of transaction data to ensure oversight, while Russia has made Bitcoin mining legal for cross-border trade. Also, the International Monetary Fund has pushed countries to maintain monetary sovereignty while avoiding official recognition of cryptocurrencies like Bitcoin.
