Why CLARITY Act Matters: Grayscale Sees Next Phase for Digital Assets

"Grayscale said the CLARITY Act could create clearer rules for crypto market oversight. Developers, investors, brokers, and custodians would face less regulatory uncertainty under the proposal. Senate lawmakers are preparing to debate the bill as industry pressure continues building."

"Rather than treating the legislation as a narrow policy update, Pandl described CLARITY as a broad market structure bill. He wrote that it would clarify which federal regulator oversees which activities. The proposal would create a framework separating investment contracts from digital commodities. Under that approach, the Securities and Exchange Commission (SEC) would regulate investment contracts, while the Commodity Futures Trading Commission (CFTC) would oversee digital commodities."

"The CLARITY Act matters because for much of the past decade, digital asset regulation has been shaped primarily through enforcement rather than formal rulemaking. That enforcement-led approach has shaped Grayscale's view of the bill's importance. Pandl wrote that tens of billions of dollars in regulatory fines have been paid."

"He also said many potential participants have avoided crypto due to fears of regulatory backlash, even as t"

Grayscale said the CLARITY Act could improve crypto regulation by creating clearer oversight rules for regulators, developers, investors, brokers, and custodians. The proposal would clarify which federal regulator oversees which activities by separating investment contracts from digital commodities. Under the framework, the SEC would regulate investment contracts, while the CFTC would oversee digital commodities. Grayscale characterized the bill as a broad market structure measure rather than a narrow policy update. The firm linked the bill’s importance to a decade of enforcement-led regulation, which it said produced regulatory fines and discouraged participation due to fears of backlash. Senate lawmakers are preparing to debate the bill as industry pressure grows.

Read at news.bitcoin.com