Senate Republicans Seek Clarity on Crypto Capital Rules

Senate Republicans have sent a letter to US banking regulators, urging them to create clearer capital guidelines for banks participating in digital asset markets.

The request comes as Congress advances broader legislation on digital assets, including the CLARITY Act. The senators argue that current standards may prevent banks from meaningfully participating in these markets.

The CLARITY Act aims to establish a market-structure framework for digital assets, allowing banks to engage in more on-balance sheet activity. However, regulators would need to provide clear guidance on capital requirements to support this shift.