Coinbase CEO and Co-Founder Brian Armstrong said the Digital Asset Market Clarity (CLARITY) Act is in its strongest position yet as the U.S. Senate Banking Committee prepares to mark up the bill on Thursday.
In a video posted from Capitol Hill, Armstrong said the legislation has gained bipartisan support after lawmakers resolved several contentious issues, including stablecoin rewards, decentralized finance, and regulatory oversight. “CLARITY is closer than ever,” Armstrong wrote on X. “The bill is strong.”
Senate markup seen as key milestone
The Senate Banking Committee’s markup will determine whether the legislation advances to the full Senate.
If enacted, the CLARITY Act would establish a federal framework for regulating digital asset markets, including rules for exchanges, brokers, and issuers. The bill is intended to define the roles of the U.S. Securities and Exchange Commission and the Commodity Futures Trading Commission in overseeing the sector.
Armstrong described the upcoming vote as a “historic moment” for the crypto industry.
Compromise on stablecoin rewards
One of the most debated issues in recent negotiations involved whether stablecoin issuers should be allowed to pass yield or rewards to users. Armstrong said lawmakers reached what he called a workable compromise, crediting Senators Thom Tillis and Bill Hagerty for helping broker discussions.
“Both sides left a little bit unhappy, but at least we got to a place that we can all live with,” he said.
The compromise comes after banking groups, led by the American Bankers Association, urged lawmakers to tighten provisions they say could encourage deposit outflows from traditional banks.
Industry concerns addressed
Armstrong said other provisions that had drawn criticism from the industry were also revised. He pointed to changes involving decentralized finance, tokenized equities, and the scope of CFTC authority, saying those issues had been “improved and fixed” from Coinbase’s perspective. The company has been one of the most active supporters of the bill through its advocacy group, Stand With Crypto.
Armstrong thanked the group’s 3.7 million members, along with Senate staff, for helping move the legislation forward.
Coinbase pushes ahead amid internal restructuring
Armstrong’s appearance in Washington came during a turbulent week for Coinbase. The company disclosed plans to cut about 700 employees, or roughly 14% of its workforce, as part of a restructuring aimed at reducing operating costs and adapting to what Armstrong has described as an AI-driven shift in how the company operates.
The layoffs followed a surprise quarterly loss and a service disruption caused by an outage at Amazon Web Services that temporarily affected Coinbase systems.
The developments echoed themes in the 2026 Web3 Workforce Report by CryptoJobsList, which argued that crypto companies are moving toward leaner teams supported by artificial intelligence and increasingly relying on employees who oversee AI tools rather than perform traditional individual contributor roles.
Push to keep crypto innovation in the U.S.
Armstrong said the CLARITY Act could help make the U.S. financial system faster and more accessible while providing clearer rules for digital asset businesses. He argued that passing the bill would help the United States remain competitive as other jurisdictions continue to develop crypto regulatory frameworks.
The Senate Banking Committee is expected to consider amendments during Thursday’s markup before deciding whether to send the bill to the full Senate.
Also Read: Bitwise CIO Says CLARITY Act Could Ignite Institutional Crypto Boom
