Wall Street Heavyweights Back Clarity Act as Senate Timeline Tightens

What to Know

• BlackRock, Fidelity, Franklin Templeton, Goldman Sachs and SoFi have publicly endorsed the Digital Asset Market Clarity Act in recent days.
• The bill would establish a new regulatory framework for the U.S. crypto industry and reshape oversight between the Securities and Exchange Commission and the Commodity Futures Trading Commission.
• Supporters argue that clear rules would strengthen investor protections, give companies regulatory certainty and help the United States remain competitive in digital asset markets.
• The legislation has exposed a divide on Wall Street, with JPMorgan Chase backing banking industry changes that Coinbase and other crypto firms oppose.
• Stablecoin yield restrictions have become a flashpoint, with banks warning about potential disadvantages for traditional deposits and crypto firms warning against weakening the bill.
• Senate negotiators have released updated legislative text that merges House and Senate proposals and outlines ethics restrictions for senior government officials involved with crypto.
• The Senate is scheduled to begin its summer recess on August 8, leaving a limited number of legislative days to move the bill forward before the break.

Wall Street Support Builds Around Crypto Market Structure Bill

Some of the largest names in traditional finance are lining up behind the Digital Asset Market Clarity Act, giving the crypto market structure bill one of its most prominent waves of institutional support to date. BlackRock, Fidelity, Franklin Templeton, Goldman Sachs and SoFi have all publicly urged Congress to advance the legislation, positioning the measure as a potentially important step toward clearer rules for digital assets in the United States.

The Clarity Act is designed to create a new framework for how the U.S. crypto industry is regulated. At the center of the debate is how authority should be divided between the Securities and Exchange Commission and the Commodity Futures Trading Commission, two agencies that have played central roles in the digital asset sector’s long-running search for regulatory certainty. Supporters say the bill would help define responsibilities more clearly, reduce uncertainty for companies and provide investors with a better understanding of the protections that apply to crypto markets.

The recent endorsements matter because they show that parts of Wall Street now see digital asset legislation not simply as a crypto industry priority, but as a market structure issue that could affect the broader financial system. As digital assets have become more closely connected to asset management, payments, trading infrastructure and institutional products, major financial firms have increasingly pushed for rules that allow participation under a defined federal framework.

BlackRock, Fidelity and Franklin Templeton Emphasize Investor Confidence

Franklin Templeton said it supports passage of the Clarity Act and framed the legislation as a way to make clear how crypto is regulated. The asset manager said investors would know what protections apply, while firms would know which regulators they answer to. That message reflects a broader theme among supporters: regulatory uncertainty can create risks for both companies and customers, while clear rules can help responsible market participants plan for long-term growth.

Fidelity made a similar case, saying the legislation would provide clear rules of the road. The firm linked regulatory clarity to investor confidence, certainty for market participants and U.S. leadership in digital asset markets. That framing has become common among institutions that want the United States to set standards for crypto activity rather than allowing market development to shift elsewhere.

BlackRock also supported the proposal. Samara Cohen, the firm’s senior managing director and global head of market development, described the bill as an important step toward establishing a regulatory framework for digital assets that puts investors first. Cohen also said it would help the United States shape the next era of market structure while preserving the transparency, resilience and investor protections that have made U.S. capital markets a global benchmark.

For asset managers, the investor protection argument is especially important. Large firms operating in regulated markets often prefer clear supervisory lines, defined disclosure expectations and consistent standards for market conduct. In digital assets, uncertainty over whether a product, token or platform falls under securities or commodities rules has created operational complexity. The Clarity Act is being presented by supporters as a way to reduce that ambiguity.

Goldman Sachs and SoFi Add Banking Sector Support

Goldman Sachs CEO David Solomon also backed moving the Clarity Act forward, while acknowledging that the bill is not perfect. He said the legislation would create a level playing field to enhance market stability and allow digital asset markets to develop appropriately. His comments add weight because they come from a major banking institution with deep ties to capital markets, institutional clients and financial infrastructure.

Solomon said he is very supportive of moving the Clarity Act forward so market structure can be put in place and the innovation process can continue. That position aligns with the view that legislation does not need to resolve every digital asset policy debate at once to be useful. For some market participants, establishing a basic framework is a necessary starting point before more detailed rules, compliance expectations and agency guidance can develop.

SoFi CEO Anthony Noto welcomed Goldman Sachs’ support and said durable rules for digital assets are critical for U.S. global competitiveness. He argued that such rules protect consumers and allow companies to build safely under homegrown regulation. Noto also called for Congress to pass the bill immediately, signaling urgency as the Senate’s schedule tightens.

The backing from SoFi and Goldman Sachs also underscores that the bill has supporters beyond crypto-native companies. Financial technology platforms and large banks may have different business models, but both can benefit from clearer legal pathways for digital asset services. The debate now centers not only on whether crypto should be regulated, but on what kind of rules will best support innovation while limiting risks to consumers and the financial system.

JPMorgan and Coinbase Split Over Stablecoin Provisions

Despite the growing wave of support, the Clarity Act has also exposed divisions within traditional finance. JPMorgan Chase has been at odds with Coinbase over tighter restrictions around stablecoin yield. The bank has backed changes sought by the banking industry, arguing that certain provisions could give stablecoin issuers an unfair advantage over traditional deposits.

The stablecoin debate is one of the most consequential policy fights inside the broader market structure discussion. Banks are concerned that yield-bearing stablecoin products could compete directly with deposit accounts, potentially shifting customer funds away from regulated banking channels. Crypto firms, including Coinbase and others, have argued that banking industry efforts could weaken the legislation and slow innovation in the U.S. digital asset market.

Stablecoins sit at the intersection of crypto trading, payments and dollar-based financial activity. Because they are often used as settlement tools inside digital asset markets, their regulation can affect liquidity, platform operations and user access. The question of whether stablecoin issuers or related platforms should be limited in offering yield has become a major dividing line between banks and crypto companies.

For lawmakers, the challenge is balancing competition, consumer protection and financial stability. If rules are too restrictive, crypto firms argue that innovation may move outside the United States or into less transparent channels. If rules are too loose, banks warn that traditional deposit models and established safeguards could be undermined. The Clarity Act has become a venue for that broader dispute.

Senate Negotiations Enter a Critical Stretch

The growing support from Wall Street comes as the bill reaches a critical point on Capitol Hill. Senate negotiators recently unveiled updated legislative text that merges House and Senate proposals. The revised text also outlines, for the first time, how ethics restrictions for senior government officials involved with crypto could work.

Ethics restrictions have become one of the biggest sticking points in negotiations. Lawmakers are still debating whether the proposal goes far enough to address concerns surrounding President Donald Trump’s crypto business interests. That issue has added political complexity to an already difficult market structure debate, creating another hurdle for negotiators seeking broad support.

Even with revised language available, the Senate is not expected to take up the bill immediately. Majority Leader John Thune has shifted the chamber’s focus to judicial nominations and a Russia sanctions package, leaving the Clarity Act waiting for floor time. That scheduling reality could prove decisive because the legislative calendar is narrowing quickly.

The Senate is scheduled to begin its summer recess on August 8. That leaves only a limited number of legislative days to move the bill forward before the break. Supporters of the Clarity Act are therefore pressing their case at a moment when timing may be as important as policy substance. If the measure does not advance before the recess, the path forward could become more uncertain.

Why the Clarity Act Matters for Crypto Markets

The Clarity Act is important because it attempts to answer a question that has shaped the U.S. digital asset industry for years: which regulator has authority over which parts of the crypto market? The SEC and CFTC have different mandates, different histories and different approaches to market oversight. A clearer division of responsibility could influence how tokens are classified, how trading venues operate and how companies design compliant products.

For investors, supporters argue that a defined framework could make it easier to understand protections, disclosures and risks. For companies, it could reduce the uncertainty that comes from navigating enforcement actions, agency interpretations and overlapping regulatory expectations. For policymakers, the bill offers a chance to set rules before digital asset markets become even more deeply integrated into mainstream finance.

Still, the legislation remains contested. The split between JPMorgan and Coinbase illustrates that agreement on the need for regulation does not mean agreement on the details. Traditional banks, asset managers, crypto platforms and financial technology firms all have different incentives. The final shape of the bill, if it advances, will depend on how lawmakers reconcile those interests.

FXCOINZ will continue to monitor the Senate timeline, Wall Street positioning and the policy disputes shaping the Clarity Act. The latest endorsements show that crypto market structure has become a central issue for major financial institutions, not just digital asset startups. Whether that support is enough to move the bill before the August 8 recess remains the immediate question for market participants.

Frequently Asked Questions (FAQs)

What is the Digital Asset Market Clarity Act?

The Digital Asset Market Clarity Act is proposed legislation intended to create a new regulatory framework for the U.S. crypto industry and clarify oversight between the Securities and Exchange Commission and the Commodity Futures Trading Commission.

Which major firms have endorsed the Clarity Act?

BlackRock, Fidelity, Franklin Templeton, Goldman Sachs and SoFi have publicly endorsed the bill in recent days, arguing that clearer rules would support investor protection, regulatory certainty and U.S. competitiveness.

Why are asset managers supporting the bill?

Asset managers supporting the bill say clearer regulation would help investors understand what protections apply and help firms know which regulators they answer to. They also frame the measure as a way to strengthen confidence in digital asset markets.

Why is JPMorgan at odds with Coinbase?

JPMorgan has supported banking industry changes related to tighter restrictions around stablecoin yield, while Coinbase and other crypto firms have argued that those changes could weaken the legislation and slow innovation in the United States.

What role do stablecoins play in the debate?

Stablecoins are a major flashpoint because banks worry certain provisions could give stablecoin issuers an unfair advantage over traditional deposits. Crypto firms counter that overly restrictive rules could limit competition and slow market development.

What changed in the updated Senate text?

Senate negotiators recently released updated text that merges House and Senate proposals and, for the first time, outlines how ethics restrictions for senior government officials involved with crypto could work.

Why are ethics restrictions part of the negotiations?

Ethics restrictions have become a sticking point because lawmakers are debating whether the proposal does enough to address concerns surrounding President Donald Trump’s crypto business interests.

When does the Senate recess begin?

The Senate is scheduled to begin its summer recess on August 8, leaving only a limited number of legislative days for the Clarity Act to move forward before the break.

Is the Senate expected to take up the bill immediately?

The Senate is not expected to take up the bill immediately because Majority Leader John Thune has shifted attention to judicial nominations and a Russia sanctions package, leaving the Clarity Act waiting for floor time.

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