Coinbase Sees US Crypto Clarity Act Passing Despite Bank Opposition
Coinbase's chief policy officer expects the US Clarity Act to pass, a move that would establish a definitive crypto regulatory framework in the world's largest economy despite ongoing banking sector concerns over stablecoin yields.
Coinbase Chief Policy Officer Faryar Shirzad said he expects the Clarity Act to pass, bringing long-awaited regulatory certainty to the US digital asset market.
Speaking on Friday, Shirzad described the bill as “maybe the most bipartisan issue in Washington” and “extraordinarily bipartisan” in its current form. He attributed the remaining political friction to a generational divide within the Democratic party.
“A lot of the opposition is generational — so it is Democrats who oppose it — but I think younger members who understand the technology, understand that money is transforming how we should engage financially, how we need to adapt, and so it’s really a generational shift,” Shirzad said.
Lawmakers are currently reviewing a new draft of the legislation that bans government officials and their families from issuing or promoting crypto. This provision directly targets specific ethics concerns previously raised by opposition lawmakers.
However, the traditional banking sector remains a significant obstacle. The bill has been deadlocked this year partially due to pushback from banking chiefs and lobbyists. Their primary financial concern centres on stablecoins: lenders worry that if crypto exchanges offer attractive yields on these digital tokens, traditional banks could lose their deposit base.
Despite this financial lobby opposition and a recent statement from a group of Democrats arguing the bill still falls short, Shirzad expressed confidence in the legislation's trajectory.
“I think we’ll be on the winning end of that because right now there are about 67 million Americans who own crypto,” he said. “We’ve got ethics nailed down, we’ve got nominations nailed down, we’ve got a bipartisan bill on the substance, we should be good to go.”
If approved, the Clarity Act would set in stone crypto regulation in the world’s largest economy. For market participants, this would finally establish clear rules for how digital assets operate, defining the competitive boundaries between crypto platforms and traditional banks.
