The CLARITY Act, a key piece of cryptocurrency regulation in the United States, is drawing attention from the global financial sector as it approaches a vote in the Senate plenary session. Kristin Smith, director of the Solana Policy Institute, predicted that if passed, it is highly likely to become a global standard. According to Decrypt, she stated, "After the GENIUS Act, which dealt with stablecoin regulation, passed last year, countries like Korea, the UK, and Canada also adopted similar systems, demonstrating its ripple effect. The CLARITY Act will also impact the entire world." The CLARITY Act includes stablecoins, DeFi, and anti-money laundering regulations, and its core content is to amend existing securities laws to place most cryptocurrencies under the jurisdiction of the Commodity Futures Trading Commission (CFTC) rather than the Securities and Exchange Commission (SEC). While the cryptocurrency industry is optimistic about the bill's passage, some senators, including Elizabeth Warren, oppose it, arguing that it could weaken global regulations and turn cryptocurrencies into a channel for terrorist financing and sanctions evasion. The CLARITY Act is expected to be put to a vote in the Senate plenary session in June, and thereafter, it can be implemented after coordination with the House of Representatives, presidential signing, and promulgation. Some investment banks have also predicted a low probability of the CLARITY Act passing this year.
