White House May Pull Support for CLARITY Act After Coinbase Standoff

The White House is reportedly considering withdrawing its backing for the US crypto market structure bill, the CLARITY Act, following Coinbase's decision to pull its support and refuse to return to negotiations. Administration officials are reportedly upset by Coinbase's "unilateral" move to withdraw support after the Senate Banking Committee introduced a rewrite of the House-passed bill, which expanded SEC authority and restricted DeFi and stablecoin rewards.

The White House is now pushing for a last-minute agreement on stablecoin yield rules that would satisfy banks and bring industry players back into alignment. The CLARITY Act aims to define regulatory oversight between the CFTC and SEC for digital assets. Passing the bill before the November midterms is politically important for the Trump administration to claim a legislative win on financial innovation, but failure to resolve the standoff risks stalling the legislation amid shifting political landscapes.

(Source：BeInCrypto)