Group runs Fox News ads urging senators to strip DeFi from CLARITY Act

An anti-decentralized finance group, Investors For Transparency, reportedly ran advertisements on Fox News asking viewers to contact their senators to remove DeFi provisions from the CLARITY Act, according to screenshots shared on X by Crypto in America host Eleanor Terrett. The screenshots show ad text such as "Tell Your Senator: Pass Crypto Legislation Without DeFi Provisions" and "Don’t Let DeFi Stall Innovation." The messaging appears to echo banking lobby concerns that the CLARITY Act could allow stablecoin issuers to offer interest-bearing products that might resemble bank-like deposits and potentially draw large sums from the traditional banking system; the US Treasury estimated in April that $6.6 trillion in deposits could flow out if stablecoins see widespread adoption.

Crypto figures have criticized the campaign — Uniswap Labs CEO Hayden Adams called it both "ironic and unsurprising" that the group is campaigning against DeFi while not revealing who they are and who they're funded by — and several Democratic lawmakers are reportedly pushing for conflict-of-interest safeguards in the crypto market structure bill.

The Senate Banking Committee published an official notice for its CLARITY Act markup scheduled for Thursday, Jan. 15, at 10:00am Eastern Time.

Key Topics

Crypto, Clarity Act, Defi, Stablecoins, Us Treasury, Hayden Adams