Gnosis Co-founder: The CLARITY Act may lead to the centralization of the crypto market by institutional players

Friederike Ernst, co-founder of Gnosis, stated that the regulatory framework in the U.S. "Digital Asset Market Structure Clarification Act" (CLARITY Act) may give large financial institutions greater control in the crypto market.

She pointed out that some provisions of the bill assume that market activities need to be conducted through centralized intermediaries, which could undermine the role of blockchain users as network participants and stakeholders. Ernst believes that if there is too much reliance on institutional intermediaries, users may revert to being "customers renting financial technology services" rather than actual participants in the network. However, she also noted that the bill clarifies, to some extent, the regulatory boundaries between the U.S. Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC), and provides certain protections for peer-to-peer trading and self-custody.

Currently, the CLARITY Act faces controversy as it progresses in Congress, with major disagreements focused on the issue of stablecoin revenue distribution. Alex Thorn, head of research at Galaxy Digital, previously stated that if the bill fails to advance before April 2026, the probability of its passage will significantly decrease.