JPMorgan has identified the passage of US crypto legislation as a pivotal factor for a potential market surge in the second half of the year. The bank's latest research highlights that comprehensive market-structure legislation could provide the regulatory clarity needed to attract institutional capital, which has been hesitant due to legal and compliance risks.
The Clarity Act, which has already passed the House, faces a Senate impasse over stablecoin reward payments. Traditional banks oppose these rewards, fearing deposit outflows, while crypto firms argue it stifles competition. The ongoing negotiations, involving key industry figures and government officials, are crucial for resolving this deadlock. Without legislative progress, regulatory uncertainty remains a significant barrier to institutional investment.
JPMorgan Sees US Crypto Legislation as Key to Market Surge
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