Crypto investor sentiment will rise once CLARITY Act is passed: Bessent
Passing the CLARITY crypto structure bill could improve market sentiment amid the ongoing downturn, according to United States Treasury Secretary Scott Bessent.
The stalling of the CLARITY bill over concerns voiced by crypto industry executives has negatively impacted the industry, Bessent told CNBC on Friday. He said:
“In a time when we are having one of these historically volatile sell-offs, I think some clarity on the CLARITY bill would give great comfort to the market, and we could move forward from there.
I think if the Democrats were to take the House, which is far from my best case, then the prospects of getting a deal done will just fall apart,” Bessent continued.
Bessent discusses the importance of passing the CLARITY crypto market structure bill ahead of the 2026 US midterm elections. Source:
CNBC
He said that getting the bill passed “as soon as possible” and sent to US President Donald Trump for signature by spring, which occurs between late March and late June in the US, is important, given the potential shift in the balance of power in the 2026 midterm elections.
Related: White House officials met with crypto, banking reps to discuss stablecoins
The 2026 midterm elections could throw a wrench in Trump’s crypto agenda
The balance of power typically shifts in US midterm election years, Joe Doll, the former general counsel at non-fungible token (NFT) marketplace Magic Eden, told Cointelegraph.
“President Trump has a two-year unimpeded mandate that can be weakened greatly in the 2026 mid-term elections and reversed in the 2028 elections,” economist Ray Dalio said in January.
This potential political shift could reverse the Trump administration’s pro-crypto policies, if they are not codified into law, Dalio warned.
The Republican Party holds a slim four-seat majority in the US House of Representatives, with 218 seats compared to 214 seats held by the Democratic Party, according to data from the US House.
Polymarket 2026 US midterm election odds. Source:
Polymarket
47% of traders on the prediction market Polymarket project that power will be split in the 2026 midterms, with each political party taking control of one chamber of Congress.
The Polymarket odds of a full sweep by the Democratic Party, meaning they claim a majority in both chambers, is 37% at the time of this writing.
Magazine: Crypto wanted to overthrow banks, now it’s becoming them in stablecoin fight
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
You may also like
10-year Yield Plunges 17 Basis Points in One Week! AI Trading Turbulence Rekindles Safe-Haven Appeal of US Treasuries
AI trading has loosened, reactivating the safe-haven attribute of US Treasury bonds. Last week, the 10-year yield dropped 17 basis points in a single week, synchronizing with the decline in tech stocks—a phenomenon not seen since the tariff storm in April 2025. The unusually concentrated short positions amplified the bond market rally, and large-scale short-covering by CTA funds has also become a key driver in this round of bond rebound.
From Digital Assets to Reshaping Financial Pipelines! BlackRock (BLK.US) Accelerates Integration of Tokenized Funds into the Core of Wall Street
Wall Street’s embrace of blockchain technology is moving beyond simply creating digital versions of stocks, bonds, and money market funds, aiming instead for a broader goal—to transform the way these assets circulate within the financial system.
AI bubble alarm rings across Wall Street! Oaktree Capital's Marks disagrees: The market hasn't reached its most dangerous moment yet, and investors are not completely oblivious to risks.
Although investors are displaying typical FOMO (fear of missing out) sentiment regarding further gains in tech stocks, the market continues to draw comparisons between the current situation and past bubbles, indicating that investors are not unaware of the risks.
Barclays: Dual restrictions of physical and capital, data center growth will slow significantly in 2027!
Barclays' latest report reveals that the global data center construction boom is approaching a turning point—the year-on-year growth rate of new capacity will plummet from over 100% in 2026 to about 35% in 2027, and stabilize by 2028. Facing both physical constraints and tightened financing, hyperscale cloud providers will absorb more than 60% of new capacity, while the risk of project suspension for small and medium developers will sharply increase.
Crypto prices
More
