Urgent Crypto Reform: Treasury Secretary Says The Clock Is Ticking

US Treasury Secretary Scott Bessent told CNBC that Congress should move fast on the Clarity Act to give investors and companies a firmer sense of what counts as allowed activity in crypto markets. He argued that clearer rules would calm the recent swings traders have seen and help restore confidence.

Based on reports, the bill has split committee leaders. The Senate Agriculture Committee advanced part of the market-structure plan, while the Senate Banking Committee stopped its planned markup after intense pushback over language that would limit yields on stablecoins. That split helped prompt major industry players to pull back support, reshaping the path forward.

Reports say some lawmakers want the measure ready for a presidential signature this spring. Supporters say speed matters; critics say rushing could lock in rules that harm legitimate services.

US President Donald Trump’s approval is being discussed as a near-term finish line by some backers, and Republican and Democratic senators alike have been urged to find common ground.

Reports note that the White House convened meetings with bank and crypto executives in an effort to bridge gaps, but the discussions ended without an agreement.

White House advisers, including Patrick Witt, have been central to those talks. The big sticking point remains whether stablecoin interest and reward programs should be restricted, and how strict any limits would be.

Based on market notes, Bitcoin and other digital assets have shown fresh volatility in recent days, and some traders welcomed talk of a clear US framework as a stabilizing signal while others feared the specifics could cut into revenues for exchanges and lenders.

Coinbase’s public withdrawal of support altered the political math and sent a ripple through equities and crypto prices.

Reports say banks favor strict limits on stablecoin yields to avoid a flight of deposits into crypto platforms. Exchanges, in contrast, argue that rewards help users and that cutting them would reduce competition and innovation.

Lawmakers will have to balance consumer protection, systemic risk, and commercial freedom. The final version could look very different from what’s now on the table.

Featured image from Unsplash, chart from TradingView