Crypto Industry Stakeholders React as CLARITY Act Experiences Another Setback

• CLARITY Act markup has been postponed to the last week of January.
• The postponement is a result of delays from the Senate Agriculture Committee.
• Crypto industry stakeholders expressed concerns after the latest delay.

Reactions have trailed the latest setback in the potential passing of the Crypto Market Structure Bill, often referred to as the CLARITY Act, by the U.S. Senate.

The scheduled markup for the bill was postponed because the Senate Agriculture Committee version was not ready for debate. According to reports, Senate Agriculture Committee Chairman John Boozman announced a new date for the last week of January for his Committee’s framework to be ready.

CLARITY Act Markup Delay Has Triggered Uncertainty

In the meantime, crypto industry stakeholders are reacting to the latest setback, highlighting the potential effect it could have on the digital assets ecosystem. Bitwise Asset Management CIO Matt Hougan thinks the delay has introduced a level of uncertainty in the bill’s legislative process, despite hoping for the eventual realization.

Despite the latest delay, Hougan believes the bill will eventually be passed into law and create a firm regulatory framework that will last many years. According to him, the CLARITY Act will create a foundation for crypto to build on, with lots of specifics to promote the emerging financial industry.

Related Articles: U.S. Senate Delays CLARITY Act Markup After Coinbase Withdraws

Concerns Emerged Over the Bill’s Current Version

CNBC Congress correspondent Emily Wilkins highlighted the uncertainty that followed the postponement of the CLARITY Act voting. Wilkins cited comments from lawmakers, most of whom remain optimistic over the bill’s passing. However, she hinted at numerous concerns surrounding the bill, particularly around the crypto industry and the financial sector. Wilkins singled out Coinbase’s withdrawal of support for the bill after describing it as “materially worse than the current status quo.”

Meanwhile, Delta Blockchain Fund founder Kavita Gupta cited possible resistance from the traditional banking sector as a factor working against the CLARITY Act’s passage into law. Gupta further noted her issues with the yield aspect of the bill, questioning the disapproval of stablecoins from having yield-bearing assets. She cited other details that may not be good for the industry, including the potential shift toward the SEC rather than the original bill’s structure, which leaned more toward the CFTC.

Related Articles: Coinbase Pulls Support Of CLARITY Act, Citing Restrictions