Democrats added certain consumer protection rules to CLARITY: Coinbase execCoinbase vice chair Ryan VanGrack said that Democratic lawmakers had added provisions on customer protection to a digital asset market structure bill under consideration in the US Senate.
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As the US Senate prepares to potentially vote on the Digital Asset Market Clarity (CLARITY) Act, Coinbase executives have revealed details about ongoing closed-door negotiations. In an interview with CNBC, Coinbase vice chair Ryan VanGrack stated that Democratic lawmakers have introduced additional consumer protection rules into the bill to strengthen it, giving it “more teeth.” VanGrack emphasized that the core focus of the legislation is to ensure customer protections, addressing current infrastructure deficiencies in the crypto market. However, he did not confirm any progress regarding the inclusion of ethics provisions, which remain a key concern for many Democrats.
The CLARITY Act, seen as the most comprehensive proposed legislation for the crypto industry, has faced some delays. Coinbase CEO Brian Armstrong previously expressed opposition to an earlier version of the bill during the Senate Banking Committee markup process, contributing reportedly to the hold-up. Since then, several Coinbase executives, including chief legal officer Paul Grewal, have publicly supported passing the legislation. The regulatory backdrop includes a past SEC lawsuit against Coinbase for allegedly operating as an unregistered securities exchange, broker, and clearing agency, a case that was dropped when President Trump took office.
President Trump has expressed support for the CLARITY Act, notably calling on the Senate to pass it in honor of the late Senator Lindsey Graham, a reputed supporter of the bill. Reports indicate that Republican lawmakers have met with Trump to discuss the bill amid Democratic concerns about his personal ties to the crypto industry. Trump disclosed $1.4 billion in earnings linked to his memecoin and other crypto ventures, which could complicate bipartisan support. As of the latest updates, Senate Democrats have held closed-door discussions about their stance on the bill, but no final text or floor vote date has been announced.