Senator Cynthia Lummis Pushes for Swift CLARITY Act Passage to Protect Crypto Industry

Source: CryptoNewsNet Original Title: Senator Cynthia Lummis Says, Let’s Get the CLARITY Act Passed Before It’s Too Late Original Link:

Overview

Wyoming Senator Cynthia Lummis has called on US lawmakers to swiftly pass the CLARITY Act, which would bring structure to the US crypto market. She reiterated the legislation’s importance to the growth of the digital asset sector, calling for a decisive move in Congress. Beyond the space, she also emphasized that the crypto market structure bill is critical to America’s leadership.

Bill Passage Locks in Protection for Digital Assets

The CLARITY Act, which provides clearer insight into the regulation of digital assets, has become a topic of interest to US lawmakers and industry leaders alike. Pro-crypto senator Lummis highlighted the importance of passing the bill now.

She started by criticizing the Biden administration for stunting the advancement of digital assets during its tenure. The senator insisted that the previous government waged war against the industry, evidenced in incessant lawsuits and the Wells Notice issued by the former US SEC chair, Gary Gensler.

Meanwhile, she urged Congress to leverage the current friendly environment to set clear rules governing digital assets. According to her, the CLARITY Act “locks in protection” for the sector against future anti-crypto leaders. She emphasized that once enacted, antagonists cannot undo it.

Broader Industry Agreement on the CLARITY Bill

Lummis noted that the crypto industry is in broad agreement on the crypto market structure bill. She highlighted the rarity of “builders,” “investors,” and “innovators” in the digital asset sector standing in one voice to support the legislation.

Notably, while this is largely true, recent details of the bill have forced pushback from certain industry players. A major head-of-exchange CEO announced their platform has denounced support for the bill, citing several flaws, including the stablecoin yield-bearing ban. Other prominent figures in the industry have also expressed concerns about specific provisions.

Lummis noted that a pro-crypto president is positioned to implement the agreed-upon regulations for the industry. She added that America’s leadership depends on this.

Why It Matters for Crypto and Its Investors

Passage of the CLARITY bill will foster an environment where crypto thrives in the US. Issues on regulatory clarity would be resolved, bringing structure and protecting participants from sudden legal challenges.

It would also encourage large institutions to invest in the sector, broadening adoption and innovation.

However, much work remains in the pipeline, including reconciling the different versions of the bill in the Senate and House. The Senate version shrinks the purview of the US Commodities Futures Trading Commission and seeks stricter regulation of customer protection, while the House proposal gives the commodities regulators more power over the sector.

Notably, the US SEC chair is already working to harmonize the agency with the CFTC on crypto regulation, with meetings scheduled to discuss alignment.