Senate and Crypto Heavyweights Signal CLARITY Act Is Still Alive Despite Coinbase Revolt

Coinbase's sudden withdrawal of support for the CLARITY Act caused the cancellation of a Senate Banking Committee markup, sparking fears of stalled crypto market structure reform. However, key figures suggest the bill is merely paused, not dead, entering a tense negotiation phase. Senate Banking Chair Tim Scott affirmed that all parties remain engaged in good faith negotiations to establish clear rules. Co-architect Senator Cynthia Lummis echoed this sentiment, rejecting the idea that the effort was derailed. Industry leaders like Ripple CEO Brad Garlinghouse and a16z's Chris Dixon also voiced continued optimism, emphasizing that "clarity beats chaos." Kraken executive Arjun Sethi warned that abandoning the bill would lock in uncertainty while global competitors advance. Furthermore, White House crypto czar David Sacks urged the industry to use the pause to resolve differences, stating legislation passage is "as close as it's ever been." Despite reported frustration among some Senate members over Coinbase's timing, the prevailing view is that the CLARITY Act is paused, not buried, with the coming weeks crucial for determining its legislative future amidst increasing international regulatory progress.

(Source：BeInCrypto)