- Coinbase withdraws support for Senate’s crypto bill.
- Kara Calvert highlights flaws in current legislation.
- Industry remains united for improved regulatory framework.
Coinbase’s US Policy VP, Kara Calvert, indicated potential swift progress on crypto legislation before the midterms amid ongoing discussions around the Clarity Act’s market structure flaws.
The legislation’s timely passage could significantly impact regulatory frameworks, altering how cryptocurrencies like BTC, ETH, and stablecoins operate, while Coinbase’s withdrawal raises concern among lawmakers and industry stakeholders.
Coinbase recently withdrew its support for the Senate’s cryptocurrency market structure bill, known as the Clarity Act. This move comes amid recognition of key flaws in the proposed legislation according to Coinbase’s VP of US Policy, Kara Calvert.
Kara Calvert stated that while respect for the bill’s development remains, Coinbase’s decision highlights identified issues. She emphasized commitment to ongoing efforts in refining regulatory frameworks. Coinbase had been actively involved in discussions on this legislative measure.
The withdrawal has sparked various reactions across the industry, with White House officials expressing frustration over the company’s unilateral decision. It has resulted in the potential delay of legislative proceedings concerning crypto regulations.
President Trump’s administration indicated that further progress on the bill might halt unless Coinbase re-engages, particularly as focus remains on favoring a yield framework advantageous to banks, affecting finance and technology sectors.
The crypto market and related industries are closely monitoring these developments, anticipating potential adjustments in the law. Current talks suggest a significant split on stablecoin yields, as participants debate over key financial mechanisms.
Financial, regulatory, and technological outcomes are anticipated, with experts pointing to entailing discussions delaying the bill until at least 2026. Historical trends within legislative circles further imply a prolonged review, impacting market expectations and strategic planning.
Kara Calvert, VP/Head of U.S. Policy, Coinbase, emphasized, “We want to honor the significant effort that has gone into this bill. I cannot overstate [how] impressive it [has] been for Senate staff [and] the Senators themselves, who dedicated hundreds of hours to discuss these details.”
