Coinbase Backs Revised CLARITY Act Amid Stalled Senate Ethics Talks

Ryan VanGrack, vice chair at Coinbase, confirmed on Monday that the revised legislative text incorporates stronger protections for customers, effectively giving the bill more teeth compared to earlier drafts. This shift marks a strategic pivot for the exchange, which had publicly opposed the bill in January. CEO Brian Armstrong previously signaled that the company could not support the legislation in its initial form, a stance that contributed to earlier delays in the Senate Banking Committee.

While the industry support adds momentum, the bill’s path to becoming law remains precarious. Polymarket traders currently estimate the probability of enactment by 2026 at just 31%, reflecting deep-seated friction between the White House and Senate Democrats. At the heart of the standoff is a push for ethics restrictions targeting the financial interests of officials in digital assets—a move largely driven by concerns over President Donald Trump’s personal investments, including his holdings in World Liberty Financial and various memecoins.

Senate Majority Leader John Thune aims to push the bill forward before the August recess, but the lack of a bipartisan agreement on ethics provisions remains a hurdle. Although Trump has publicly urged the Senate to pass the act, the White House has yet to offer a definitive position on the specific language required to satisfy Democratic demands. With the SEC having dropped its high-profile lawsuit against Coinbase following the change in administration, the exchange is now operating in a more favorable regulatory climate, yet the legislative endgame for the CLARITY Act hinges on reconciling these unresolved ethics mandates.