Bessent Criticizes Crypto Lobby 'Nihilists,' Calls for Regulation Resisters to Exit U.S. Market

Legislative Progress on CLARITY Act: Lawmakers are advancing the CLARITY Act, with Treasury Secretary Scott Bessent emphasizing the urgency for the U.S. to lead in digital finance amidst concerns about a "nihilist" faction in the cryptocurrency industry that opposes regulation.

Balancing Safety and Innovation: Bessent highlighted the need for a balance between safety, soundness, and innovation in the cryptocurrency sector, warning that rebelling against regulation could harm the U.S.'s position as a leader in global finance.

Concerns Over Digital Assets: During a Senate Banking Committee meeting, Bessent raised concerns about how digital assets might interact with traditional banking systems, particularly regarding the potential impact on smaller banks if crypto-linked products become more common.

Call for Clear Regulations: Bessent stressed the importance of clear regulatory frameworks from the government to foster growth within the U.S. financial system, suggesting that companies wishing to operate in the U.S. must accept federal oversight alongside market freedoms.