{
  "id": 8783588,
  "title": "Clarity Act’s Failure Kicks Off Wave of Blame in Crypto World",
  "url": "https://urgent.news/2026/09/20/clarity-acts-failure-kicks-off-wave-of-blame-in-crypto-world",
  "topic": "finance",
  "section": "Finance & Markets",
  "published": "2026-09-20T22:33:23.000Z",
  "source": {
    "name": "PYMNTS",
    "slug": "pymnts",
    "url": "https://www.pymnts.com/cryptocurrency/2026/clarity-acts-failure-kicks-off-wave-of-blame-in-crypto-world/"
  },
  "original_language": "en",
  "account": "The failure of the Clarity Act has sparked a wave of finger-pointing within the cryptocurrency industry, according to recent reports. As The Wall Street Journal (WSJ) detailed on September 20, the legislation fell short in the Senate earlier in the month, leading to immediate blame being placed on various parties. Some attributed the setback to Democrats' ethical concerns regarding President Donald Trump's connections to the crypto sector, while others argued that the industry had lost a crucial opportunity to reach an agreement before other pressing issues like the Iran war, inflation, and artificial intelligence gained prominence in Congress.\n\nAt the forefront of this blame game is Brian Armstrong, CEO of Coinbase, the largest U.S. crypto exchange. Armstrong played a pivotal role in the negotiations for the Clarity Act, making 13 trips to Washington between the 2024 election and the recent vote. His lobbying team held frequent calls with industry members to discuss the bill, leading WSJ to describe his engagement as \"extraordinary.\" However, Armstrong's ability to veto parts of the legislation he disagreed with caused frustration and disrupted the process.\n\nBrad Garlinghouse, CEO of Ripple, which also supported the bill, expressed disappointment, stating that the industry had squandered momentum they had in January. Coinbase clarified that Armstrong's decision to withdraw his support for the Clarity Act in January was in the best interest of the crypto sector, as they identified several problematic aspects of the bill. In a statement to WSJ, Faryar Shirzad, Coinbase's chief policy officer, emphasized that the company had made multiple compromises to maintain the coalition and move the legislation forward.\n\nThe demise of the Clarity Act has significant implications for the stablecoin industry, as PYMNTS reported. Stablecoins are now seen as the \"presumptive standalone regulated U.S. digital asset,\" according to the report. This shift highlights the growing importance of stablecoins amid changing dynamics in the crypto space. Other notable developments include the U.S. Securities and Exchange Commission's experiments with tokenized securities and Mastercard's efforts to build new stablecoin capabilities for their network. Circle recently launched blockchain infrastructure for machines, contributing to the evolving landscape of digital assets.\n\nWhile the future of stablecoins remains uncertain, the direction of the industry seems to be moving away from the original crypto vision of creating a financial system outside traditional finance. Instead, stablecoins are embedding themselves within the existing financial framework, altering the trajectory of blockchain technology's potential impact on the industry.",
  "summary": "The collapse of the Clarity Act has reportedly triggered a wave of finger-pointing among cryptocurrency executives and lawmakers. This “blame game” began almost immediately after the digital assets legislation failed to clear the Senate earlier this month, The Wall Street Journal (WSJ) reported Sunday (Sept. 20). Some pointed to ethics concerns among Democrats about President […] The post Clarity…",
  "key_points": [],
  "editors_take": null,
  "illustration": null,
  "coverage": {
    "outlets": 1,
    "also_reported_by": []
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}