By Peter Smith, CEO, Founder and Executive Chairman of Blockchain.com
For years, the digital asset industry has operated in a state of regulatory limbo – navigating a landscape of conflicting signals and regulation by enforcement. Last July, it seemed the tide had finally turned. The House of Representatives passed the Digital Asset Market Clarity Act (CLARITY Act) with a bipartisan majority of 294–134. It was a signal to the world that the U.S. was ready to lead the future of finance.
Unfortunately, the momentum from last summer stalled. CLARITY was held up at a moment it was gaining real traction. More than a year later, the Senate now has one realistic window to pass the bill. If the Senate lets this session slip by, the bill risks getting pushed into the October recess and then the midterm election cycle, if not further. That delay would likely cost the industry years of progress.
Over the last year, I’ve been an outspoken advocate for getting this bill passed because I know it’s good for our industry but it’s even better for the American people. It will establish clear rules that protect consumers, promote competition, and create faster ways to save, transact, and invest. Without CLARITY, responsible companies operating under uncertainty, risks the U.S. surrendering leadership in technology that has the potential to shape global finance for decades.
The Administration has made it clear it won’t wait around for Congress to act, if paralysis continues. The SEC just proposed new rules addressing how certain crypto assets and offerings would be regulated. These steps will help reduce uncertainty, but we still need Congress to establish a durable framework and legislation that clearly defines the rules of the road.
Last week in Washington, I joined President Trump, senior regulators and other industry leaders at the White House to address the remaining issues with the bill, build consensus and advance a clear path toward passing the CLARITY Act in September. Coming out of this meeting, I remain committed to helping resolve remaining questions on market structure and stablecoin rewards, and reinforcing the bipartisan support needed to move the bill through the Senate.
Earlier this summer, Sen. Cynthia Lummis (R-WY) warned we were approaching the last realistic opportunity for passage “before at least 2030.” We have now reached that final opportunity. The choice in front of us is simple: The Senate can act in the coming weeks and give the markets the legal certainty they need, or it can let the clock run out. The longer we wait, the harder it will be to maintain American leadership.
The industry has done the work to build a broad coalition. President Trump has kept pushing Congress to break the gridlock. The rest is up to the Senate.
Crypto is a bipartisan issue, with bipartisan support. It’s time to secure the future of the American digital economy, and passing the CLARITY Act is the right way to get it done.
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