Trump Signals ‘Imminent’ CLARITY Act Signing; Sacks Previews Crypto-Bank Merger
Trump cites competition with China as the catalyst for fast-tracking the CLARITY Act, while Crypto Czar David Sacks predicts a forced merger of banking and crypto sectors.
President Trump confirmed at Davos that the Digital Asset Market Clarity Act is weeks away, positioning the legislation as a geopolitical necessity against China.
Speaking to global leaders at the World Economic Forum in Davos, President Donald Trump vowed to sign comprehensive crypto market structure legislation “very soon,” explicitly framing the move as a strategy to lock down U.S. dominance over China. The President’s remarks fueled a rebound in Bitcoin, which reclaimed $89,700 (-1.2%) after dipping earlier in the week.
“Congress is working very hard on crypto market structure legislation. Bitcoin, all of them, which I hope to sign very soon,” Trump told the forum, referencing the pending CLARITY Act. He cited Beijing’s ambition as the primary catalyst for the administration’s speed: “China wanted that market too. It’s just like they want the AI. And we’ve got that market, I think, pretty well locked up.”
The President confirmed he already signed the GENIUS Act (stablecoins) last year, marking the CLARITY Act as the final pillar of his initial regulatory push.
The ‘One Industry’ Thesis
White House AI and Crypto Czar David Sacks doubled down on the President’s timeline, outlining a future where regulatory arbitrage between Wall Street and Web3 evaporates. Sacks stated that the new framework would force traditional banks and crypto protocols to operate as “one industry,” effectively merging the two sectors under a unified compliance standard.
This convergence faces immediate friction. Coinbase CEO Brian Armstrong recently withdrew support for the bill’s current draft, arguing that a ban on stablecoin yields grants banks an unfair monopoly on interest-bearing products. Sacks dismissed the delay as a final negotiation tactic, urging stakeholders to “resolve remaining disagreements” quickly.
The market anticipates the Senate Banking Committee will reschedule its markup session for late January, with Sacks signaling that passage remains “closer than ever.”
