What to know:
- US is outlier as most G20 and UK already regulate crypto: Armstrong.
- Armstrong urges Senate to pass CLARITY Act on Sept 15 to define SEC/CFTC roles.
- Bill could unlock institutional growth; failure risks US losing talent and liquidity offshore
The CEO of Coinbase, Brian Armstrong, is pressing harder the authorities in Washington to recognize that the United States has become a laggard compared to the other G20 countries as worldwide cryptocurrency regulations are progressing.
Considering the facts that many G20 countries have already established supervision of cash trading and that the UK has approved its broad regulation only a few months ago, Armstrong is calling on the Senate to approve the CLARITY Act on September 15.
A Washington Policy Moment
The CLARITY Act on Digital Markets would spell out the respective boundaries to jurisdiction of the SEC, the S&C Commission and the CFTC, the commodity future trading Commission. It would enable exchanges, brokers, and token issuers to register federally.
The proposed bill intends to do away with the enforcement-based model that led liquidity and developers to flee to more attractive offshore jurisdictions with clear compliance guidelines.
Also Read: Coinbase One Unlocks Lucrative 6.5% APY on $500K USDC
UK Precedent, US Crossroads
Uncertainty is the main hurdle to the US market expansion, as institutional investors, ETFs issuers, stablecoin providers like Circle and Tether, and Layer 1 ecosystems (like Ethereum or Solana) mention it as a concern.
Source: Bloomberg
As the CoinMarketCap data, the US market has been losing its global share since 2022. Clearly defined rules could make it possible for banks to custody digital assets and enable on-chain settlements as well as allowing asset managers like BlackRock Fidelities etc. to be part of the system.
Also Read: Coinbase CEO 2026 Clarifies No Token Endorsements
Why Clarity Matters Now
UK regulation under the Financial Services and Markets Act, which put crypto regulatory responsibility under the FCA, is offering an alternative model to the US approach criticized by Coinbase, one that protects consumers while still allowing innovative solutions to be developed.
Source: Reuters
If the CLARITY bill passes in the Senate on September 15, the attention will then be on the House-Senate reconciliation and the implementation into 2026. Should the legislative effort fail, the US could be left behind as other regions define and set standards at the world level for digital assets.
Also Read: Coinbase Establishes Abu Dhabi Tokenization Hub With FSRA Permissionenate Return
Be the first to comment