Coinbase pulls its support of the Senate CLARITY Act
The Verge • • general
Key Points:
- The CLARITY Act, a significant bipartisan crypto regulation bill, faced a major setback when Coinbase withdrew its support just before the Senate Banking Committee markup, citing concerns influenced by big bank lobbying, particularly around stablecoin interest earnings.
- Coinbase CEO Brian Armstrong emphasized preferring no bill over a flawed one, sparking criticism from other major crypto industry leaders who urged continued negotiation rather than abandoning the progress made.
- The Senate Banking Committee paused markup to renegotiate, but time is tight with midterm election campaigns starting soon, limiting opportunities for consensus and floor votes before the legislative session ends.
- Delaying the bill risks losing the current favorable political climate for crypto legislation, as anticipated shifts in congressional control could hinder future passage or result in less industry-friendly terms
