Franklin Templeton Backs CLARITY Act to Bring Clear Crypto Regulation

Franklin Templeton, a global asset manager overseeing $1.5 trillion in assets, has endorsed the CLARITY Act, a proposed U.S. legislation aimed at establishing a clear regulatory framework for digital assets.

The bill seeks to delineate the jurisdictional boundaries between the Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC) regarding digital assets, providing statutory definitions for terms such as 'digital asset' and 'digital commodity.'

Franklin Templeton emphasized that the legislation would bring essential clarity to the market, stating that CLARITY will clarify how crypto is regulated. Investors will know what protections apply, and businesses will know which regulators oversee crypto.