Coinbase CEO Brian Armstrong has called on U.S. lawmakers to pass the Digital Asset Market Clarity Act, marking a notable shift in position after months of opposition to the legislation.

Armstrong made the statement on April 9, saying it is “time to pass the Clarity Act” and expressing support for bipartisan efforts to finalize the bill. The endorsement represents a reversal from earlier in 2026, when Coinbase withdrew support over provisions related to stablecoin yield restrictions.

The Clarity Act is a comprehensive market structure bill designed to establish a federal regulatory framework for digital assets, including the division of oversight responsibilities between the Securities and Exchange Commission and the Commodity Futures Trading Commission. The legislation has been under negotiation for months and is widely viewed as a critical step toward regulatory clarity for the U.S. crypto industry.

Shift follows months of industry resistance

Armstrong’s backing is significant given his previous role in opposing earlier drafts of the bill. Coinbase had argued that provisions limiting stablecoin rewards would reduce consumer utility and constrain innovation, while potentially benefiting traditional financial institutions.

That opposition contributed to delays in legislative progress and highlighted broader divisions between crypto firms and banks. Financial institutions have advocated for tighter restrictions on stablecoin products, citing risks to deposit bases, while crypto companies have pushed for more flexible frameworks.

The latest endorsement suggests that negotiations have reached a stage where major industry participants are willing to support the bill despite outstanding concerns. Armstrong’s comments also follow renewed pressure from policymakers to advance legislation amid increasing global competition in digital asset regulation.

Regulatory clarity seen as critical for competitiveness

The Clarity Act is intended to address longstanding uncertainty in the U.S. regulatory environment, which industry participants say has driven capital and innovation to jurisdictions with clearer rules.

Policymakers have warned that without a defined framework, the United States risks losing its position in the global digital asset market. Other regions, including parts of Asia and the Middle East, have introduced structured regulatory regimes, attracting crypto businesses and investment flows.

The legislation builds on earlier regulatory efforts by establishing clearer definitions for digital assets, outlining compliance requirements, and setting standards for market participants. For institutional investors, regulatory clarity is widely seen as a prerequisite for expanding exposure to digital assets.

Armstrong’s support is likely to increase the probability of the bill advancing, given Coinbase’s influence in policy discussions and industry lobbying. The company has played a central role in shaping regulatory dialogue in the United States.

However, key areas of disagreement remain, particularly around stablecoin-related provisions and the allocation of regulatory authority between agencies. These issues continue to be debated among lawmakers, financial institutions, and crypto firms.

If enacted, the Clarity Act would represent one of the most comprehensive regulatory frameworks for digital assets globally, with implications for how crypto businesses operate in the United States.

The endorsement reflects a broader alignment between industry leaders and policymakers, suggesting growing consensus that regulatory clarity is necessary for the next phase of market development.