Coinbase CEO Backs CLARITY Act Ahead of Senate Vote

Coinbase CEO Brian Armstrong has come out in support of the CLARITY Act, which is set to go before the Senate for a vote on September 15. He believes that if passed, it will provide a clearer framework for US crypto markets and attract more institutional capital.

Armstrong stated that law enforcement groups, banks, and crypto companies are all now in favor of the bill, which has undergone significant changes since its initial proposal. The CEO pointed out that his company had previously raised concerns but is now satisfied with the resolved issues.

The CLARITY Act includes ethics provisions related to digital-asset holdings and projects linked to elected officials, including President Donald Trump. Armstrong described these provisions as 'very strong' and noted that discussions are close to a solution on this issue.

Armstrong connected regulatory clarity to institutional adoption, citing the GENIUS Act as an example. He pointed out that more than 150 large companies integrated stablecoins within three months of its passage. The CEO believes that CLARITY could act as a 'checkbox' for institutional investors and bring tokenized equities and perpetual contracts to the US.

Armstrong also mentioned that even if the bill doesn't pass, regulatory clarity will still arrive through agency rules or congressional action. He noted that CFTC Chairman Michael Selig had outlined how the agency could establish a crypto trading framework using its existing authority.