JPMorgan Sees US Crypto Regulations Nearing Completion with CLARITY Act Breakthrough

The US is moving closer to finalizing its cryptocurrency rulebook with the CLARITY Act, as indicated by JPMorgan, which points to signs that negotiations may be nearing a conclusion. In a recent report, the bank stated that discussions among lawmakers and regulators suggest the legislation is almost complete, with only a few unresolved issues remaining. A senior policy official noted that the list of contentious items has narrowed down to just 2-3 issues, with the debate around stablecoin rewards now in a favorable position. The CLARITY Act aims to establish a clear regulatory framework for digital assets in the US, including the division of oversight between agencies such as the SEC and CFTC, as well as the treatment of stablecoins and decentralized finance platforms under existing financial rules. Lawmakers involved in the discussions have expressed optimism, with a Senate staffer stating that the draft legislation is 'very close' to being finalized, and remaining questions around areas like DeFi oversight and token classification potentially being resolved soon. One of the most closely watched debates centers on whether stablecoin issuers should be allowed to offer rewards to users, which has drawn opposition from banks arguing that such features could replicate deposit-taking without equivalent regulatory safeguards. The latest proposals could potentially find support from both crypto firms and traditional financial institutions, according to JPMorgan. However, the path forward is not without risks, as the final legislative text has yet to be released, and no formal vote has been scheduled. The timing is also a factor, with some policy experts warning that delays could push the bill into a more uncertain political environment, particularly with the 2026 midterm elections approaching. Despite these challenges, the direction of progress appears clear, with stakeholders willing to compromise to establish a workable framework. If passed, the CLARITY Act would mark a significant step towards integrating digital assets into the US financial system, providing the regulatory clarity that industry participants have been seeking for years.