Goldman Sachs CEO Warns US Crypto Law Faces Delay Push Now
- Goldman tracks crypto law closely as long debates slow bank planning efforts nationwide.
- Tokenization tests continue at Goldman while clear US rules remain distant today.
- Prediction markets draw study as regulation guides future involvement paths ahead.
David Solomon warned that U.S. cryptocurrency legislation faces major delays as regulatory debates continue in Washington. He delivered the assessment during Goldman Sachs’ fourth-quarter earnings call. Solomon said the long-awaited market structure bill still faces serious legislative hurdles. He added that the slow pace affects how large financial institutions plan digital asset strategies.
His remarks came as banks and asset managers expand interest in tokenization and blockchain tools. Yet regulatory uncertainty continues to shape how firms approach these technologies.
Goldman’s Strategy on Tokenization and Stablecoins
During a question-and-answer session, Solomon said Goldman does not need to lead every technology trend. Instead, the bank wants flexibility to deploy new tools that support existing operations.
He said large internal teams work closely with senior leadership to decide where Goldman should test tokenization and stablecoin technology. These efforts focus on controlled experiments rather than full-scale launches.
At the same time, Solomon pointed to active policy discussions in Washington. He said regulatory outcomes remain central to how Goldman frames its long-term digital asset approach. The comments came as institutional interest in crypto markets grows. Traditional finance firms continue to call for clearer rules before expanding services tied to blockchain-based assets.
CLARITY Act Draws Caution From Institutions
Solomon directly addressed the Crypto-Asset Reporting, Innovation, and Technology Act, known as the CLARITY Act. He said Goldman monitors the bill closely because of its potential impact on financial innovation.
The legislation aims to define digital assets and set jurisdictional boundaries for regulators. Solomon said recent developments suggest meaningful progress will take considerable time.
Financial analysts viewed the remarks as a signal of continued caution across major banks. Delayed legislation complicates planning for tokenized asset platforms and digital custody services.
Some market observers note that slower U.S. action could benefit regions with clearer crypto frameworks. That raises a central question: could prolonged uncertainty shift financial innovation away from U.S. markets?
Senate Activity and Market Structure Updates
The Senate Agriculture Committee was scheduled to discuss crypto legislation on Thursday. It rescheduled the hearing to Jan. 27 and plans to release its draft text by Jan. 21.
Meanwhile, the Senate Banking Committee released its version of the CLARITY Act earlier in the week. The draft includes more than 75 amendments, according to CoinDesk.
These parallel efforts show active debate but also signal a complex path forward. Multiple revisions may extend timelines before final rules emerge.
Prediction Markets and Regulatory Boundaries
Solomon also discussed prediction markets during the call. He said he recently met leaders from two large platforms and spent hours reviewing their operations. Goldman has teams studying the sector, especially products overseen by the Commodity Futures Trading Commission. Solomon said these products resemble derivative-style contracts.
He said certain scenarios could overlap with Goldman’s business lines. Any involvement would depend on how future regulatory frameworks take shape. Despite growing attention, Solomon said both tokenization and prediction markets remain early-stage. He cautioned that adoption may progress more slowly than public commentary suggests.
Related: Goldman Says Regulation Fuels Next Institutional Crypto Cycle
Tokenization and Stablecoin Policy Implications
Solomon pointed out that the CLARITY Act might influence the markets for tokenization and stablecoins. Tokenization is turning physical assets into virtual tokens on blockchains.
Institutions are tokenizing for advantages in asset fractionalization, quicker settlement, compliance being part of the process, and greater market access. However, the success of these applications is contingent upon the existence of unambiguous regulatory standards. The other major component of the bill is the stablecoin regulation.
The legislation proposes the establishment of rules for the emission and functioning of digital assets linked to the dollar.
The banks could be more willing to participate in the stablecoin market if the rules were clear. As of now, institutions have not yet fully entered the market, even though the demand is increasing, because of the uncertainty.
