Here's which Wall Street giants have backed the Clarity Act
Reported by CoinDesk · AI-assisted summary by ChikoCorp AI News Desk
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Summary
BlackRock, Fidelity, Franklin Templeton, Goldman Sachs, and SoFi have publicly endorsed the Digital Asset Market Clarity Act in recent days, marking significant support from major Wall Street firms for this regulatory bill. The Clarity Act aims to create a new ruleset for the U.S. crypto industry, establishing a clear regulatory framework and altering how the Securities and Exchange Commission (SEC) and Commodity Futures Trading Commission (CFTC) oversee digital assets. These firms argue that clearer regulation would boost investor protection, provide certainty for market players, and help maintain U.S. competitiveness as digital assets become more mainstream.
Despite this broad institutional backing, a clear divide remains within traditional finance. JPMorgan Chase opposes some provisions of the bill, particularly those related to stablecoin yield restrictions, siding against Coinbase and the broader crypto sector. JPMorgan argues that certain elements of the bill could unfairly advantage stablecoin issuers over traditional bank deposits, while Coinbase and other crypto firms contend such changes would weaken the legislation and impede innovation in the U.S. crypto market.
Why it matters
The Clarity Act's progress in the Senate is currently constrained by a limited legislative calendar. Although updated legislative text has been released, including provisions aimed at addressing ethics concerns linked to senior government officials involved in crypto, the Senate is prioritizing judicial nominations and sanctions legislation. The August 8 start of the Senate recess leaves only a short window to advance the bill before the break.
Executives from the endorsing firms have publicly stressed the importance of the Clarity Act. BlackRock’s Samara Cohen described it as a necessary step to establish a regulatory framework that prioritizes investor protection while preserving the transparency and resilience of U.S. capital markets. Goldman Sachs CEO David Solomon acknowledged the bill's imperfections but supported it as a means to create a level playing field and promote market stability. SoFi’s CEO Anthony Noto likewise expressed support, emphasizing the importance of durable digital asset rules for U.S. global competitiveness and consumer protection.