📌 Situation: Coinbase has blocked the CLARITY Act twice, creating legal uncertainty for the crypto industry.
💡 Background: - The CLARITY Act defines tokens as commodities or securities. - Protects developers & self-custody. - Provides the legal framework the industry has awaited since 2020.
✅ House Passed: 294-134 (bipartisan) ⚠️ Senate: Blocked by Coinbase — twice
📊 Key Points: - January: Coinbase pulled support before markup. - March: White House compromise rejected by Coinbase. - Motivation: Banks & Coinbase revenue from USDC yield (~$800M/year, 20% of Coinbase revenue) - Ripple ($XRP ) fought SEC for 4 years, built compliance-first systems (RLUSD), no lobbying against legislation.
⏳ Timeline: If the bill doesn’t pass by May, midterms likely kill it, undoing years of progress.
💭 Takeaway: One company’s revenue model should not hold an entire industry hostage.