Wall Street Giants Back Clarity Act Amid Growing Crypto Regulatory Divide

The biggest names on Wall Street are backing the Digital Asset Market Clarity Act, which aims to establish a new regulatory framework for the US crypto industry.

Firms such as BlackRock, Fidelity, Franklin Templeton, Goldman Sachs, and SoFi have urged Congress to pass the bill, arguing that clear rules would protect investors, provide companies with regulatory certainty, and help the US stay competitive in the digital assets market.

The wave of endorsements highlights a growing divide within traditional finance, as some banks, like JPMorgan Chase, have expressed concerns about certain provisions in the legislation.

JPMorgan Chase has argued that tighter restrictions around stablecoin yield would give stablecoin issuers an unfair advantage over traditional deposits, while Coinbase and other crypto firms counter that these efforts would weaken the legislation and slow innovation in the US digital asset market.