{"id":75638,"date":"2026-03-10T09:01:34","date_gmt":"2026-03-10T09:01:34","guid":{"rendered":"https:\/\/dogewisperer.com\/?p=75638"},"modified":"2026-03-10T09:01:34","modified_gmt":"2026-03-10T09:01:34","slug":"banks-need-clarity-act-more-than-crypto-former-cftc-chair-explains-why","status":"publish","type":"post","link":"https:\/\/dogewisperer.com\/?p=75638","title":{"rendered":"Banks Need CLARITY Act More Than Crypto \u2013 Former CFTC Chair Explains Why"},"content":{"rendered":"
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US banks may need regulatory clarity more than the crypto industry, a former Commodity Futures Trading Commission (CFTC) chief said, arguing they risk falling behind the rest of the world.<\/p>\n

Regulatory Uncertainty Could Leave US Banks Behind<\/h2>\n

On Sunday, Chris Giancarlo, former chairman of the CFTC, discussed the significant policy reversal under the Trump administration that has been driving crypto innovation in the US, including the highly anticipated market structure bill.<\/p>\n

In an interview for Scott Melker\u2019s The Wolf Of All Streets podcast, the ex-CFTC chief affirmed that landmark stablecoin legislation enacted last July, the GENIUS Act, was \u201cthe appetizer\u201d for crypto regulation, while the market structure bill, also known as the CLARITY Act, represents the main dish but has become the \u201chard part.\u201d<\/p>\n

For context, the CLARITY Act has been stalled for nearly two months after the Senate Banking Committee published its bill draft in mid-January. Multiple policies, including key restrictions for stablecoin issuers, were criticized<\/a> by crypto leaders, leading to a prolonged fight between banks and the digital assets industry.<\/p>\n

Giancarlo affirmed that banks need regulatory clarity more than the crypto industry, arguing that they will be hesitant to invest in new technology without clear rules, and their systems will be superseded.<\/p>\n

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The banks, however, can\u2019t afford regulatory uncertainty. Their general counselors are telling their boards, you can\u2019t invest billions of dollars in this (\u2026) unless you\u2019ve got regulatory certainty. (\u2026) The banks need this clarity because they need to build this. They need to be in the forefront, not in the rear guard of this innovation.<\/p>\n<\/blockquote>\n

On the contrary, the crypto industry will continue to build and innovate in other jurisdictions. \u201cThey are risk-takers. They\u2019re going to build it here, or they\u2019re going to build it abroad,\u201d the former CFTC chairman asserted.<\/p>\n

If the CLARITY Act isn\u2019t passed, Giancarlo believes the leaders of financial regulatory agencies, such as the Securities and Exchange Commission (SEC) and CFTC, will likely establish<\/a> the necessary rules to oversee the sector.<\/p>\n

\u201cThey won\u2019t have the support of legislation that makes it work forever or at least into the next presidential cycle, but it\u2019ll make it work for now. Now, does that give the industry the certainty they want? No. And who needs that certainty more than the banks? Crypto doesn\u2019t need it. They were building even under the whip hand of Gary Gensler,\u201d he added.<\/p>\n

Are The Odds In Crypto Regulation\u2019s Favor?<\/h2>\n

Giancarlo emphasized that the digital assets legislation has become a political issue, with Republicans opposing Democrats, and traditional finance (TradFi) opposing decentralized finance (DeFi) and new technologies.<\/p>\n

The ex-CFTC chief also noted that the challenges of the regulatory timing, asserting that \u201cIf we could not be in a worse time, we\u2019re in an election year.\u201d During this period, politicians\u2019 focus is on the upcoming mid-term elections, he detailed, and \u201ceverything that takes place in Washington (\u2026) is all about swaying the voters for the elections.\u201d<\/p>\n

Last month, Treasury Secretary Scott Bessent urged<\/a> lawmakers to pass the stalled bill this spring. He acknowledged the efforts of a bipartisan working group to advance the legislation, emphasizing that Democrats are open to collaborating with Republicans.<\/p>\n

He also warned that the chances of reaching a deal could crumble if Democrats gain control of the House of Representatives in November, given the Biden administration\u2019s stringent regulations on the industry.<\/p>\n

Despite the delay, Giancarlo believes the odds are 60-40 in favor of passing<\/a> the legislation, arguing that there\u2019s \u201ca lot of good in the bill for all sides\u201d and its importance is recognized by all parties.<\/p>\n

\u201cI think there\u2019s a recognition that this is the new architecture of finance and America, our financial institutions are the world\u2019s dominant financial institutions. We need to modernize that. We need to adopt this technology,\u201d he concluded.<\/p>\n

\"crypto,<\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"

US banks may need regulatory clarity more than the crypto industry, a former Commodity Futures Trading Commission (CFTC) chief said, arguing they risk falling behind the rest of the world. Regulatory Uncertainty Could Leave US Banks Behind On Sunday, Chris Giancarlo, former chairman of the CFTC, discussed the significant policy reversal under the Trump administration […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"iawp_total_views":0,"footnotes":""},"categories":[2],"tags":[3,4,5],"class_list":["post-75638","post","type-post","status-publish","format-standard","hentry","category-news","tag-crypto","tag-doge","tag-news"],"_links":{"self":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts\/75638","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=75638"}],"version-history":[{"count":0,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts\/75638\/revisions"}],"wp:attachment":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=75638"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=75638"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=75638"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}