Armstrong: Crypto Regulation Expected by Mid-September

Coinbase CEO Anticipates Crypto Regulatory Clarity by Mid-September

Coinbase CEO Brian Armstrong anticipates a significant development in U.S. cryptocurrency regulation by mid-September, potentially arriving through a Senate vote or new rules from the Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC).

These expectations follow a White House meeting between Armstrong, other crypto executives, and President Donald Trump, as lawmakers prepare to re-examine the CLARITY Act.

Armstrong shared his outlook on X (formerly Twitter) on August 21, stating that “clarity is coming either way,” and identifying September 15 and September 16 as pivotal dates. He projected that the CLARITY Act could secure over 60 votes in the Senate on September 15, or alternatively, that new regulations from the CFTC and SEC could be introduced the following day.

His post referenced remarks from CFTC Chairman Mike Selig, who had indicated earlier that his agency would not indefinitely await congressional action if the CLARITY Act faced continued delays attributed to what Selig termed Democratic obstruction.

In a video accompanying his post, Selig elaborated that “the CFTC will utilize its existing authorities to begin establishing a regime” for crypto markets. He suggested this plan could allow both registered and unregistered exchanges to seek a new designation that would permit leveraged and margin crypto trading under CFTC supervision. Selig also stated he had instructed staff to collaborate with developers of on-chain finance protocols to facilitate the legal offering of their products in the U.S. He cautioned that if Democrats did not support a bipartisan version of the CLARITY Act, the CFTC would proceed with its own rulemaking.

Following the meeting with President Trump and other crypto leaders, Armstrong described the potential September 15 vote as crucial for ensuring the administration’s crypto initiatives achieve lasting impact for decades. He credited the administration for advancements such as the GENIUS Act, the concept of a strategic Bitcoin reserve, and a recent SEC proposal that would enable crypto companies to raise up to $5 million over four years or $75 million within 12 months. This capital-raising proposal offers a glimpse into what agency-driven regulations might entail if legislative efforts falter again.

The Coinbase chief also highlighted the extensive amendments contributed by Democratic senators, countering the notion that support for the bill is strictly divided along party lines.

Senate Majority Leader John Thune initiated a cloture filing for the CLARITY Act before the August recess, paving the way for the September 15 vote. However, the bill requires 60 votes for passage. With Republicans holding 53 seats, at least seven Democrats or independents would need to vote in favor.

Galaxy Research recently revised its probability of the bill’s passage this year downward from 50% to 30%, citing ongoing disagreements regarding ethics provisions, illicit finance rules, and language originating from the Senate Agriculture Committee.

In parallel, a bipartisan proposal from Republican Senator Thom Tillis and Democratic Senator Ruben Gallego, aimed at strengthening restrictions on public officials issuing their own cryptocurrencies and expanding the enforcement role of state attorneys general, has stalled due to a lack of timely response from the White House.