Coinbase CEO Backs CLARITY Act After Treasury Push
Treasury Secretary Scott Bessent published a Wall Street Journal opinion piece urging lawmakers to pass the Digital Asset Market Clarity Act, prompting Coinbase CEO Brian Armstrong to publicly endorse the legislation after rejecting earlier versions twice.
Key Takeaway
Armstrong's reversal signals the bill's passage is likely, but midterm politics could still derail it.
Coinbase CEO Brian Armstrong publicly endorsed the Digital Asset Market Clarity Act of 2025 on X after rejecting earlier versions of the bill twice. The reversal came shortly after Treasury Secretary Scott Bessent published a Wall Street Journal opinion piece urging lawmakers to pass the legislation.
Armstrong said he was grateful for the bipartisan work among senators and staff over the past several months to make this a strong bill. His support marks a sharp turn from January 2026, when he publicly withdrew Coinbase's backing for the Senate Banking Committee's draft. He had called a March 2026 updated version materially worse than the current status quo, citing concerns over stablecoin yield provisions and banks' influence.
Bessent wrote that durable law is the only way to give developers and entrepreneurs the comfort to reshore. SEC Chair Paul Atkins backed the Treasury Secretary's comments on X, saying it's high time for Congress to future-proof against rogue regulators and advance comprehensive market structure legislation to President Donald Trump's desk.
The latest CLARITY Act version bans passive stablecoin yields but permits activity-based rewards, resolving the industry dispute that drove Armstrong's earlier opposition. President Trump signed the GENIUS Act stablecoin framework into law in July 2025. Coinbase Chief Legal Officer Paul Grewal said on April 1 that he's very confident the team will see progress because they need to finish the job, expecting a Senate Banking Committee markup, floor vote, and presidential signature.
Political risks remain. Senate demands to restrict Trump's crypto ventures and potential delays from 2026 midterm elections could hinder passage. TD Cowen analysts highlighted ongoing political divisions that might stall the bill despite Armstrong's endorsement and the April 1 timeline set by Paul Grewal.
This article was written based on reporting from Bitcoinist.
