CLARITY Act Stalls After Coinbase Withdraws Support
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The CLARITY Act, introduced in July 2025 as a potential framework for crypto regulation, has stalled after Coinbase withdrew its support in January. The exchange cited concerns over legal protections and stablecoin yields, leaving the bill without a key industry backer. Galaxy Research notes that seven Democrats are now considered pivotal to advancing the legislation, though their positions remain uncertain. The delay reflects ongoing tensions between industry needs and regulatory caution, with the bill's future hinging on bipartisan compromise. Without clear progress, market participants may face prolonged uncertainty, potentially dampening institutional adoption.
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