Galaxy Digital CEO says stalled Clarity Act would hurt U.S. crypto sector

Galaxy Digital CEO Michael Novogratz said if the U.S. Clarity Act fails to make progress, crypto regulation in the United States could face a prolonged delay and, in the worst case, effectively collapse. In a post on X, Novogratz said such an outcome would be a major negative for the United States and could further accelerate the shift of crypto companies and the industry overseas. He added that the digital and blockchain revolution would continue regardless, and said the U.S. SEC and CFTC could still spend the next two years putting related rules in place and creating conditions for companies to launch businesses, but long-term regulatory uncertainty would remain. Novogratz also said bipartisan senators should look beyond immediate interests and consider the broader direction of the crypto industry.