Odaily Planet Daily reports: Friederike Ernst, co-founder of Gnosis, stated that the regulatory framework in the U.S. CLARITY Act could grant large financial institutions greater control over the cryptocurrency market. She noted that certain provisions of the bill assume that market activities must occur through centralized intermediaries, potentially undermining the role of blockchain users as network participants and stakeholders.
Ernst believes that excessive reliance on institutional intermediaries could cause users to revert to being merely "customers renting financial technology services," rather than active participants in the network. However, she also notes that the bill somewhat clarifies the regulatory boundaries between the U.S. Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC), and provides certain protections for peer-to-peer transactions and self-custody.
The CLARITY Act still faces controversy in Congress, with main disagreements centered on the distribution of stablecoin yields. Alex Thorn, Research Director at Galaxy Digital, previously stated that if the bill does not make progress by April 2026, its chances of passage will significantly decrease. (Cointelegraph)