CLARITY Act Stalemate Raises Regulatory Uncertainty, Slows US Banks' Crypto Plans
US banks risk losing ground in financial innovation as the CLARITY Act remains stalled, former US Commodity Futures Trading Commission Chairman Chris Giancarlo said. The legislative impasse has increased regulatory uncertainty, leaving banks cautious about committing capital to crypto infrastructure while global competitors advance more quickly. General counsels are advising boards to be wary of potential legal risk in this environment, he added.