Coinbase pullout delays CLARITY Act markup; Senate leaders say talks continue

Beincrypto reports that Coinbase’s abrupt withdrawal delayed a scheduled Senate Banking Committee markup of the CLARITY Act, but Senate leaders and industry figures say negotiations remain ongoing and the reform effort is still alive. Senate Banking Committee Chair Tim Scott framed the pause as constructive, saying he had spoken with industry and congressional leaders and that "everyone remains at the table working in good faith," with the goal of delivering "clear rules of the road that protect consumers, strengthen national security, and ensure the future of finance is built in the US." Senator Cynthia Lummis, a bill architect, acknowledged frustration but rejected the idea that Coinbase’s move derailed the effort.

Industry responses were mixed yet largely supportive: Ripple CEO Brad Garlinghouse said "clarity beats chaos," a16z’s Chris Dixon urged moving the bill forward despite imperfections, and Kraken executive Arjun Sethi warned abandoning the bill would "lock in uncertainty and leave American companies operating under ambiguity." The White House warned that walking away risks the US falling behind global crypto regulation.

Behind the scenes, a Senate source cited by Decrypt reportedly said Banking Committee members were "pretty pissed" about Coinbase’s last-minute announcement, and reporting by journalist Eleanor Terrett noted it is unclear whether a new markup date has been set.

Key Topics

Crypto, Coinbase, Clarity Act, Senate Banking Committee, Tim Scott, Cynthia Lummis