Odaily Planet Daily reports that Peter Van Valkenburgh, Executive Director of Coin Center, stated that if the Crypto Market Structure Act (CLARITY Act) fails to pass, a future U.S. government unfriendly to the industry could once again intensify regulation of the crypto sector. If the developer protections outlined in the CLARITY Act and the Blockchain Regulatory Certainty Act are rejected in favor of short-term commercial interests and the current regulatory environment, the industry could face adverse consequences.
Peter Van Valkenburgh stated that the purpose of the CLARITY Act is to legally bind future governments, rather than rely on the current administration’s stance; without such legal protections, the crypto industry could be subject to enforcement discretion, policy shifts, and uncertainty. According to him, the CLARITY Act has stalled in the Senate due to disagreements among banks, crypto companies, and lawmakers over key provisions, including whether stablecoin yields should be permitted. The bill covers frameworks for registering crypto intermediaries, regulation of digital assets, and token classification.
In addition, in the absence of legislative clarity, future administrations may intensify enforcement against developers of privacy tools, treating them as unregistered money transmitters, while existing regulatory guidance may also be rescinded. Previously, Gary Gensler, former chair of the U.S. Securities and Exchange Commission, faced industry criticism for advancing policy through enforcement actions and settlements with crypto firms rather than formal rulemaking. Since his departure on January 20, 2025, the SEC has dismissed several long-standing enforcement cases against crypto companies and issued more lenient regulatory guidance. (Cointelegraph)