Goldman Sachs CEO David Solomon has publicly endorsed the CLARITY Act, a U.S. bill intended to create the first comprehensive federal rulebook for crypto markets, while JPMorgan Chase and major banking trade groups have raised concerns about potential risks to bank deposits.

The legislation would divide oversight of digital assets between the Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC), addressing a long-running dispute over regulatory authority in U.S. crypto markets. The SEC has maintained that most digital tokens qualify as securities under existing law, while the CFTC has treated Bitcoin and Ether as commodities. That jurisdictional ambiguity has fueled years of enforcement actions against exchanges and token issuers operating without clear rules on which assets fall under which regulator. Solomon's support comes as lawmakers move toward a possible floor vote next week and as Wall Street remains split over how the bill could affect digital finance. A House floor vote would mark a significant milestone, as no comprehensive crypto market structure bill has previously advanced to a full chamber vote. If approved by the House, the legislation would still need to pass the Senate before reaching the president's desk.

Goldman Sachs Supports the CLARITY Act

In an interview with Politico published Thursday, Solomon supported the CLARITY Act, saying the U.S. digital asset industry needs clearer and more consistent rules.

Solomon acknowledged that the bill is not perfect, but argued that creating a regulatory framework would be preferable to allowing the market to continue operating under uncertainty. He has said digital assets should not develop in a "regulatory vacuum," and that clear oversight is needed to support market integrity, investor protection, and long-term confidence.

The CLARITY Act would set definitions for how digital assets are regulated and assign responsibilities to the SEC and CFTC. Supporters say that structure could resolve years of uncertainty over which federal regulator has authority over different categories of crypto assets.

Why Goldman Sachs Backs the Bill

Analysts say Goldman Sachs' position reflects differences in business models across large financial institutions. Goldman relies more heavily on trading, asset management, and capital markets than on traditional deposit-taking activities.

As tokenized assets and stablecoins expand, the bank could see opportunities in trading, custody, and financial infrastructure. By contrast, banks with larger deposit businesses face greater concerns if stablecoins develop into an alternative to traditional bank accounts.

Analysts also note that many Wall Street firms are not necessarily opposed to digital assets themselves, but to regulatory uncertainty around them. From that perspective, Goldman views the CLARITY Act as a possible foundation for institutions to expand digital asset products, including tokenized securities and other real-world assets, with lower legal and compliance risks.

Stablecoins and Deposits Remain the Banking Industry's Main Concern

The debate is different for banks that depend more heavily on deposits. JPMorgan Chase CEO Jamie Dimon has criticized parts of the bill, arguing that stablecoin issuers could offer rewards similar to interest without being subject to the same deposit insurance and capital requirements that apply to banks, according to Fox Business.

Six U.S. banking trade groups, including the American Bankers Association, made a similar argument in a joint statement, warning that the rules could pull deposits away from banks and weaken local lending.

Opposition to the CLARITY Act also includes the U.S. Hispanic Chamber of Commerce, which raised comparable concerns about deposit flight in a July 21 letter to Senate leadership.

Debate Extends Beyond Wall Street

The dispute over the bill has implications beyond large U.S. financial institutions. Dollar-backed stablecoins are already used for cross-border payments, remittances, and savings in countries with weaker currencies.

Because of that role, U.S. rules for stablecoins and digital assets could influence how the global digital dollar market develops. The CLARITY Act has therefore become a focal point for both financial firms seeking clearer crypto regulation and banks concerned about how stablecoins may affect deposits and lending.