The Clarity Act has achieved a pivotal 15-9 markup vote in the Senate, marking a significant step forward for comprehensive digital asset legislation. According to reports from AMBCrypto, the bipartisan compromise includes provisions that prohibit interest on passive stablecoin balances but preserve rewards for active usage. The bill includes bipartisan amendments and saw two Democratic senators vote for the legislation: Angela Elsa Brooks from Maryland and Ruben Gallego from Arizona. As Nilmini Rubin, Chief Policy Officer at Hedera, explained, the Clarity Act establishes clear rules on what is permissible and what is not permissible, how tokens are treated or commodities or securities, providing permanence to these decisions and making it easier for compliant companies to enter the industry. The legislation is expected to set the stage for comprehensive market structure legislation hopefully by the summer.
The US Securities and Exchange Commission (SEC) is reportedly preparing an innovation exemption framework that could allow third-party tokenized stocks to trade on DeFi platforms without issuer approval. According to a Bloomberg report, the agency could introduce this framework as early as this week. The exemption would enable tokenized versions of traditional stocks like Apple (AAPL), Nvidia (NVDA), or Tesla (TSLA) to trade on blockchain-based platforms without requiring direct permission from the underlying companies. Under the reported framework, third parties could issue these tokens and allow them to trade on DeFi platforms, creating a lighter structure focused more on market access and price exposure compared to traditional tokenized securities.
The proposed framework would include several key conditions designed to encourage blockchain innovation while maintaining investor protections. As reported by Bloomberg, the framework would allow trading on DeFi platforms and decentralized exchanges without direct company approval, but platforms would still need to provide core shareholder-related rights, such as dividends or voting access. The proposal builds on a broader shift under SEC Chair Paul Atkins, whose approach has been viewed as more open toward crypto and tokenization initiatives. This development follows Nasdaq's March 2026 approval to support tokenized securities trading involving major US stocks and ETFs, alongside ongoing blockchain pilots tied to the NYSE.
On May 19, Senator Elizabeth Warren sent a letter to OCC Comptroller Jonathan Gould accusing the agency of allowing crypto firms to sidestep core banking safeguards through what she described as 'regulatory arbitrage'. Warren wrote that these companies are 'effectively crypto banks that want to evade the fundamental safeguards and obligations that come with being a bank'. The Massachusetts senator argued that several approved trust-charter business models appeared to extend beyond narrow fiduciary activities into payments, custodial services and stablecoin operations that 'closely related to deposit-taking'. Warren warned the approvals could create 'clear risks to consumers,' threaten 'the safety and soundness of the banking system' and undermine the separation of banking and commerce.
Since late 2025, the OCC has conditionally approved multiple national trust bank charters tied to crypto firms, including Ripple, Circle, BitGo, Paxos and Fidelity Digital Assets. On February 23, Crypto.com became the latest company to receive conditional approval for a national trust charter, allowing it to operate federally regulated custody services across the United States. Unlike traditional banks, national trust banks cannot accept FDIC-insured deposits or engage in conventional lending. However, the charters allow firms to provide digital asset custody, stablecoin infrastructure and payment-related services under federal oversight. As reported by CoinDesk, in a December 12, 2025 statement, OCC Comptroller Jonathan Gould said: **''''New entrants into the federal banking sector are good for consumers, the banking industry and the economy.'''''
Crypto companies are increasingly positioning themselves as financial infrastructure providers rather than standalone digital asset platforms. According to reports from AMBCrypto, new moves into banking, wealth management, and retirement services signal a deeper convergence between crypto and traditional finance. On 19 May, BitGo unveiled a modular operating model designed to help banks integrate digital asset services within existing compliance, governance, and operational frameworks. The company's model allows banks to adopt crypto infrastructure in stages while maintaining control over governance, compliance policies, and customer-facing operations. As Nilmini Rubin from Hedera noted, many banks are moving into crypto, and getting these rules right consistent across the crypto and financial industry is really important for moving forward. The shift is now drawing scrutiny from lawmakers who warn the approvals could reshape parts of the banking system through what critics describe as a regulatory loophole.
The announcements arrive as crypto firms increasingly reposition themselves around infrastructure and compliance amid improving regulatory momentum in the United States. As reported by AMBCrypto, recent weeks have seen continued progress around the CLARITY Act, growing stablecoin policy discussions tied to the GENIUS Act, and rising institutional interest in tokenized payments and settlement systems. The fight over whether digital asset companies should operate inside the US banking system is rapidly becoming one of Washington's biggest financial policy battles. Warren has repeatedly criticized the GENIUS Act, warning the legislation could create 'light-touch regulation for crypto banks' while weakening consumer protections and financial safeguards. Meanwhile, the SEC's DeFi tokenized stock framework represents another significant shift toward 24/7 global stock trading, instant settlement, and deeper integration between TradFi and blockchain-based finance.
