JP Morgan Offsets Shock from Clarity Act Failure with Regulatory Easing

Despite the failure of the Clarity Act in the U.S. Congress, which aimed to establish a market structure for digital assets, JP Morgan has analyzed that improvements by regulatory agencies are partially offsetting negative impacts. JP Morgan predicts that without congressional legislation, political and legal uncertainties will persist. According to The Block on the 22nd, JP Morgan's analysis team evaluated that actions by the SEC, CFTC, and OCC are facilitating institutional investors' entry into the digital asset market. The U.S. Senate failed to pass the Clarity Act last month, and JP Morgan expects that the likelihood of its passage this year is low, with discussions likely to resume next year. JP Morgan stated that while regulatory agency actions are promoting institutional participation in the short term, legislation is necessary to create a stable regulatory framework in the long term. The SEC announced a five-year innovation exemption system applicable to tokenized stocks last month, allowing companies to refuse the tokenization of their own shares. The CFTC is considering allowing leveraged digital asset trading, but JP Morgan analyzed that the likelihood of implementation before next year is low. The OCC is expanding national trust authorizations for stablecoin issuers and digital asset companies, while the FASB is reviewing a plan to classify certain stablecoins as cash equivalents on corporate financial statements. JP Morgan emphasized that while these measures could expand the use of stablecoins, long-term regulatory stability depends on the passage of the market structure law by Congress.

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