Coinbase Executive Defends CLARITY Act Delays: “I Completely Understand Why It’s Taking Longer”

Coinbase: CLARITY Act Is Foundational, Not Rushed Legislation

A senior Coinbase executive has pushed back against growing frustration within the crypto industry over delays to the Digital Asset Market Clarity Act, arguing that the legislation is complex and essential to the long-term development of the sector.

Speaking on CNBC on Friday, John D’Agostino, Coinbase Institutional’s head of strategy, said the pace of progress reflects the bill’s scope rather than a lack of political will.

“I completely understand why this is taking longer,” D’Agostino said.

“It’s the kind of bill that is quite frankly more foundational for the growth of crypto or any real asset class.”

Why the CLARITY Act Is Taking Longer Than the Genius Act

D’Agostino contrasted the CLARITY Act with the Genius Act, a stablecoin-focused bill that became law in July, noting that the two pieces of legislation address very different challenges.

While he described the Genius Act as “not simple, but transformative,” he said it dealt with structurally simpler issues compared with the CLARITY Act, which aims to define market structure, regulatory jurisdiction, and asset classification across the entire digital asset ecosystem.

Market structure legislation, he said, requires deeper coordination between regulators, lawmakers, and market participants — making a longer legislative timeline reasonable.

White House Signals Momentum for January Approval

Despite the delay, recent comments from policymakers suggest momentum is building.

In December, White House AI and crypto czar David Sacks said the CLARITY Act could receive approval as early as January, calling it a critical priority for the administration.

“We are closer than ever to passing the landmark crypto market structure legislation that President Trump has called for,” Sacks said on Dec. 19.

“We look forward to finishing the job in January.”

The remarks were shared publicly via social media and media appearances, including coverage linked by Senator Cynthia Lummi

Global Competition Adds Pressure on US Lawmakers

D’Agostino said the push to finalize the CLARITY Act is being intensified by global regulatory progress, pointing to Europe’s MiCA framework and the United Arab Emirates’ continued efforts to provide clear rules for digital asset businesses.

He also highlighted a growing outflow of crypto talent from the United States to jurisdictions offering more regulatory certainty.

“There’s been a massive flight of talent,” D’Agostino said, adding that pressure to stem that trend helped accelerate passage of the Genius Act.

He warned that lawmakers may soon face a similar sense of urgency with the CLARITY Act as competition around transformative technologies like blockchain and artificial intelligence continues to intensify.

Regulatory Delays Continue to Weigh on Crypto Markets

Uncertainty surrounding the CLARITY Act has already had market implications. CoinShares recently attributed $952 million in outflows from crypto investment products during the week ending Dec. 19 to regulatory delays, citing prolonged uncertainty and concerns about whale-driven selling.

However, not all market participants expect a dramatic price response once the legislation passes.

Veteran trader Peter Brandt said the CLARITY Act is important for long-term industry development but unlikely to materially change Bitcoin’s valuation in the short term.

“Is it a world-shaking macro development? Nope,” Brandt said.

“Needed for sure, but not something that should redefine value.”

Outlook: Patience as Market Structure Takes Shape

While frustration within the crypto industry continues to build, Coinbase’s position reflects a broader view that market structure legislation cannot be rushed without risking unintended consequences.

If passed, the CLARITY Act would mark one of the most comprehensive efforts to define how digital assets are regulated in the US — potentially shaping the industry for decades rather than quarters.

See all our insights: Bitcoin World News