The U.S. Senate has officially postponed the review of the CLARITY Act until late January 2026. While the goal is to provide a clear roadmap for the SEC vs. CFTC jurisdiction, major disagreements over DeFi oversight and stablecoin yields have brought things to a halt. 🛑 🔍 Why the Delay? · The Yield Debate: Critics (and some traditional banks) want stricter bans on "indirect" stablecoin rewards, fearing they drain deposits from traditional finance. · DeFi Definition: Lawmakers are struggling to balance "control vs. code"—how do you regulate a protocol with no central office? · Political Tug-of-War: With the 2026 midterm elections approaching, the window to pass "neutral" legislation is closing fast. 📉 The Big Question: Will stricter rules finally bring the institutional capital we’ve been waiting for, or will they stifle the permissionless innovation that makes crypto unique? If the bill is too strict, we risk "Innovation Flight" to offshore hubs. If it's too loose, we risk another major market collapse. 💬 What do YOU think? Is a "bad" bill worse than "no" bill? Should DeFi be left entirely out of this legislation? Let's discuss below! 👇 #CryptoRegulation #CLARITYAct
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#CLARITYBillDelayed
The U.S. Senate has officially postponed the review of
the CLARITY Act until late
January 2026. While the goal is to provide a clear roadmap for the SEC vs. CFTC
jurisdiction, major disagreements over DeFi oversight and stablecoin yields have brought things to a halt. 🛑
🔍 Why the Delay?
·
The Yield Debate: Critics (and some traditional banks)
want stricter bans on "indirect" stablecoin rewards, fearing they
drain deposits from traditional finance.
·
DeFi Definition: Lawmakers are struggling to balance
"control vs. code"—how do you regulate a protocol with no central
office?
·
Political Tug-of-War: With the 2026 midterm elections
approaching, the window to pass "neutral" legislation is closing
fast.
📉 The Big Question:
Will stricter rules finally bring the institutional capital we’ve been
waiting for, or will they stifle the permissionless innovation that makes crypto unique?
If the bill
is too strict, we risk "Innovation Flight" to offshore hubs. If it's
too loose, we risk another major market collapse.
💬 What do YOU think?
Is a "bad" bill worse than "no"
bill? Should DeFi be left entirely out of this legislation?
Let's discuss below! 👇
#CryptoRegulation #CLARITYAct