Key Highlights
- CFTC Chair Michael Selig called for the urgent passage of the CLARITY Act.
- Selig said the legislation would improve consumer protection, regulatory certainty, and innovation.
- He urged lawmakers to avoid unrelated political issues delaying the bill’s progress.
CFTC Chairman Michael Selig has called for the swift passage of the CLARITY Act, describing the legislation as “absolutely critical” for providing federal standards for crypto assets and replacing what he called a fragmented patchwork of state regulations.
Speaking during an appearance on Fox Business’ Mornings with Maria on Wednesday, Selig said the U.S. is “so close” to getting the bill across the finish line and urged lawmakers not to let the opportunity slip away.
“We want to get this done so that we have certainty and consumer protection,” he said.
Chairman highlights need for crypto framework
Selig said the CLARITY Act would create a clear federal framework for digital assets that protects investors and consumers while supporting innovation in the crypto sector. He described the legislation as a bipartisan issue that should receive support from both Democrats and Republicans.
He also said the debate over unrelated issues, including ethics rules and language regarding President Trump and his family’s involvement in crypto, is derailing progress. “We want to set standards and protect consumers and protect investors,” Selig stated, adding that those issues should not prevent the core legislation from advancing.
The chairman argued that the current system of state-by-state regulation creates uncertainty for businesses and said a federal framework would provide greater regulatory consistency for the industry.
Senator Lummis continues to back the bill
Selig’s comments come amid ongoing Senate negotiations. Earlier today, in an X post, Senator Cynthia Lummis stated, “This is likely our last chance to get real legislation for digital assets on the books before 2030. If we fail to pass the Clarity Act, we are ensuring another country will write the rules for digital assets and we spend the next decade catching up.”
She had earlier indicated that while the House passed a version of the bill nearly a year ago, the Senate has been negotiating intensely since last Labor Day. She mentioned ongoing work on issues including DeFi, illicit finance, ethics, and bank compromises, with Senator Tillis playing a key role. Despite missing the July 4th deadline, Lummis expressed optimism that a final text would be released soon, with a push expected in July and a new target around August 7.
Selig echoed this urgency, warning that further delays could harm America’s competitive position in the global crypto market. The CFTC chairman also touched on current market conditions, noting that crypto prices were down across the board alongside broader markets.
He referenced geopolitical tensions, including U.S. strikes on Iran in the Strait of Hormuz and statements from President Trump regarding the end of a ceasefire, as contributing factors to market volatility.
Proactive stance of CFTC for passage of the act
Selig’s comments reflect the CFTC’s broader approach of promoting formal rulemaking rather than relying primarily on enforcement actions. He said passage of the CLARITY Act would help define the respective responsibilities of the CFTC and the SEC in overseeing digital assets, with more mature digital assets expected to fall under the CFTC’s commodities jurisdiction.
As Senate negotiations continue, the CLARITY Act remains one of the most closely watched pieces of U.S. crypto legislation, with lawmakers working to finalize a regulatory framework for the digital asset industry.
Also Read: EU Eyes MiCA Changes to Keep Pace With Crypto Innovation
