A lot of people outside (and inside) the industry don't know how big of a deal the Clarity Act is - it is beyond underpriced. here are just four reasons why:
1. It legitimizes crypto as a permanent part of the U.S. financial infrastructure. Crypto is no longer a fringe technology or policy issue
2. Unlocks institutional participation with clear rules of the road, less legal risk for exchanges, custodians, fintechs, banks, asset managers. This has already started but will explode.
3. Continued from #2, the number of crypto related IPOs and M&A will shock everyone to the upside
4. More assets become institutionally investable as managers will be able to underwrite regulatory risk better.
We have been fixated (understandably so) on one piece of language within the broader act that the upside of this passing will catch everyone off guard.
🚨 UPDATE: The CLARITY Act moves closer to law after final stablecoin rules ban passive yield but allow activity-based rewards, lifting passage odds to 55% as lawmakers push for a May timeline despite rising bank opposition