Coinbase (NASDAQ:COIN) CEO Brian Armstrong has withdrawn support for the proposed Crypto Clarity Act, citing fundamental flaws in the legislation. Some market participants see the development as a net positive for cryptocurrencies.
What Happened: The Clarity Act has drawn heavy criticism across the crypto industry, with opponents arguing it attempts to centralize and control digital assets under the banner of consumer protection. Critics say the bill favours banks and financial incumbents at the expense of decentralized finance.
Key concerns include a proposed ban on tokenized equities, strict limitations on DeFi that could undermine financial privacy, a shift in regulatory power away from the CFTC toward the SEC, and potential amendments that could severely restrict …