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US Crypto Companies Urge Senate Action on Essential Market Structure Bill

A coalition of over 100 U.S. crypto firms is pressing the Senate Banking Committee to advance the Clarity Act, which aims to establish a federal regulatory framework for cryptocurrency markets.

The group, including notable companies like Coinbase and Ripple, emphasizes that merely relying on government agencies is insufficient for creating stable regulations.

They voiced concerns about a possible return to "regulation by enforcement," fueled by recent actions from the SEC and CFTC under the current administration.

The coalition outlined six key priorities for the legislation, including consumer protection related to stablecoins and clear jurisdictional roles for regulators.

They also advocate for straightforward disclosure rules and a federal standard to prevent a disjointed regulatory landscape across states.

With other regions like the European Union advancing comprehensive crypto regulations, the coalition warns that inaction could lead to a loss of investment and innovation in the U.S.

Ji Hun Kim, CEO of the Crypto Council for Innovation, stressed the urgency for the U.S. to establish clear rules for digital assets to maintain a competitive edge.

He mentioned that the Senate Banking Committee has an opportunity to build on past bipartisan efforts and create robust protections for consumers and developers.

However, as of now, the Committee has not scheduled a markup for the bill.

The continuing uncertainty raises the stakes for the U.S. to assert itself as a leader in the evolving landscape of digital asset markets.