Exchanges Push Back Against CLARITY Act Provision

A recent development in the US legislative landscape has shed light on the growing influence of crypto exchange operators in policy dialogues. According to reports, Coinbase, Kraken, and Gemini have asked lawmakers to remove a provision from the CLARITY Act that would require platforms to offer trading only on assets not readily susceptible to manipulation.

The move highlights the complex dynamics at play as regulators and industry stakeholders navigate the regulatory framework for digital assets. The CLARITY Act aims to grant the Commodity Futures Trading Commission (CFTC) expanded authority over digital assets, with ongoing coordination between the CFTC and Securities and Exchange Commission (SEC).

The reported intervention comes amid growing momentum for coordinated oversight of crypto markets. In March, both the CFTC and SEC signaled a willingness to coordinate enforcement and oversight, underscoring their commitment to addressing emerging regulatory challenges in the space.