Coinbase Shifts on Clarity Act as Stablecoin Dispute Nears Resolution

It’s time to pass the Clarity Act. That’s not a lobbyist’s line or a regulatory filing — it’s Brian Armstrong’s public declaration, marking a reversal for Coinbase after months of withholding support for the bill. The shift follows Treasury Secretary Scott Bessent’s op-ed in The Wall Street Journal urging Congress to bring clarity to digital asset rules. Armstrong welcomed the push, thanking both Bessent and bipartisan Senate teams for turning the Clarity Act into what he now calls a solid bill.

That praise carries weight because it’s new. Earlier versions of the legislation stalled in part due to Coinbase’s opposition — specifically, its objections to how stablecoin provisions would limit yield-generating activities. For a company building financial infrastructure around crypto-based returns, that wasn’t a minor detail. But the resistance appears to have softened. Chief Legal Officer Paul Grewal recently indicated the bill was “very close” to resolving those issues, signaling behind-the-scenes progress.

The Clarity Act would establish a comprehensive regulatory framework for cryptocurrency markets in the U.S., with one of its central components being a defined structure for stablecoins — the digital assets tied to dollars or other reserves that underpin much of crypto’s lending and trading activity. Bessent framed the moment as a congressional responsibility: digital asset rules need clarity, and lawmakers must act.

Yet even with Coinbase now on board, momentum isn’t guaranteed. TD Cowen analysts caution that political divisions remain, and recent Treasury Department findings on stablecoins are unlikely to ease them. The department is also reviewing new proposals targeting anti-money laundering and sanctions risks for stablecoin issuers — a move that could reintroduce friction into the debate. Coinbase has not issued a formal policy update, leaving its support anchored in executive statements, not documentation.