Coinbase Policy Chief: CLARITY Act Critical to Keep Crypto Lead Over China

Coinbase Global Inc. Chief Policy Officer Faryar Shirzad on Monday pressed Congress to pass the CLARITY Act, warning that without it the U.S. risks ceding the next generation of financial infrastructure to China. Speaking on Fox Business, he said Beijing is the country investing most heavily in blockchain technology. “The opportunity is to make sure it’s the U.S.,” he said.

The CLARITY Act would set regulatory ground rules for stablecoins and digital assets. Goldman Sachs CEO David Solomon has publicly backed the measure, telling lawmakers it would give banks a clearer path to offer stablecoin products. Senate Majority Leader John Thune has expressed doubt the bill can clear Congress before the August recess. Shirzad said Coinbase remains hopeful lawmakers can still reach agreement.

Shirzad described crypto as a technology that lets people move value as easily as sending a text. Banks, he said, are moving quickly to integrate stablecoins and blockchain infrastructure into their operations. Coinbase is already working with several leading banks on those efforts, he added.

He also addressed the long-term threat quantum computing poses to cryptographic security. The exchange has formed an independent advisory board of leading cryptographers to stay ahead of potential quantum attacks, Shirzad said.

Coinbase shares (NASDAQ: COIN) trade near $220, down about 10% over the past month. The company’s Alpha Score sits at 35 out of 100, a mixed reading that reflects the regulatory uncertainty hanging over the sector. The CLARITY Act’s fate in the coming weeks will shape whether that uncertainty lifts or persists.