Regulation· ★★★★· bearish· September 17, 23:48

JPMorgan: SEC and CFTC crypto rules will be short-lived after CLARITY Act failure

—The CLARITY Act vote failed 49-50, falling 11 votes short of the 60 needed
—Chances of the law passing by year-end fell to 6.6%
—Agency rules are less durable than a law and are challenged in courts
—Contested issues such as stablecoin yield, AML and ethics will return to agency rulemaking

Why it matters: Without legislation, the crypto industry lacks long-term regulatory certainty, raising the risk of a policy reversal when power changes in the U.S.

Source: Crypto Briefing