Large financial institutions are behaving as if U.S. crypto legislation is inevitable - even as lawmakers struggle to move a single bill forward.
During its latest earnings call, Goldman Sachs signaled continued commitment to blockchain-based finance, despite acknowledging that the Digital Asset Market Clarity (CLARITY) Act remains stuck in Washington.
Key Takeaways
Progress on the CLARITY Act has stalled as lawmakers and industry groups remain divided.
Major banks continue preparing for tokenization despite regulatory delays.
Attention may shift to alternative market structure efforts in Congress.
CEO David Solomon framed the delay as procedural rather than existential, emphasizing that tokenization and new market mechanisms remain central to the firm’s long-term strategy.
That confidence stands in sharp contrast to developments on Capitol Hill, where momentum behind the CLARITY Act has quietly stalled.
Washington slows while Wall Street plans ahead
The Senate Banking Committee recently removed the CLARITY Act from its markup schedule, effectively pausing progress on what was once viewed as the most comprehensive U.S. crypto market structure proposal to date. The postponement reflects a broader inability among lawmakers to reconcile competing views on how digital assets should be regulated as they intersect with traditional securities markets.
At the same time, Congress faces a more immediate problem: avoiding another federal funding crisis. After last year’s record-setting government shutdown, lawmakers are under pressure to pass budget legislation before the end of January. In that environment, crypto regulation has once again been deprioritized.
Industry consensus breaks down
Behind the scenes, industry alignment has weakened. Coinbase withdrew its support for the bill, citing unresolved concerns around the treatment of tokenized equities and the regulatory handling of stablecoin-related incentives. The move undercut the bill’s credibility as a bipartisan, industry-backed framework and made it easier for lawmakers to delay action.
Without unified backing from major market participants, the CLARITY Act has lost the political urgency it once had.
Why banks are unfazed by delays
For institutions like Goldman Sachs, legislative gridlock does not change the underlying trajectory. Tokenization promises faster settlement, reduced counterparty risk, and lower operating costs – advantages that exist regardless of when Congress acts. Solomon’s comments suggest large banks are preparing internally while waiting for regulatory certainty to unlock deployment at scale.
His reference to prediction markets further underscores this approach. By engaging early with emerging decentralized financial tools, banks can position themselves ahead of regulatory approval rather than reacting after frameworks are finalized.
Another committee, another chance
With the Banking Committee stalled, attention is shifting elsewhere. The Senate Agriculture Committee is expected to advance its own version of a digital asset market structure bill later this month. If that effort succeeds, it could revive regulatory momentum in 2026 – even if the CLARITY Act itself remains frozen.
For now, the divide is clear: Washington debates, Wall Street prepares, and the crypto industry waits for rules that everyone assumes will eventually arrive.
