David Solomon, chair and CEO of Goldman Sachs, has expressed support for the Digital Asset Market Clarity Act, a cryptocurrency market structure bill under consideration in the US Senate, while acknowledging that the legislation is “not perfect.” The bill is part of a broader congressional effort to establish a federal regulatory framework defining when digital assets fall under the jurisdiction of the Securities and Exchange Commission versus the Commodity Futures Trading Commission — a boundary the crypto industry and traditional banks have long sought to clarify.

According to a Thursday report by Politico, Solomon said the CLARITY Act is needed to establish a “level playing field to enhance market stability.” His position makes him one of the few leaders of a major traditional financial institution to publicly back the measure, even as several other banking executives and lawmakers continue to object to key provisions. Goldman Sachs has been expanding its footprint in digital assets, including launching a tokenization platform, which adds weight to Solomon's call for regulatory clarity.

“The CLARITY Act — like all legislation — is not perfect,” Solomon said, according to Politico. “And there are lots of things that you could debate and argue about. But I think one of the most important things that it does is that it creates a level playing field to enhance market stability and allow these markets to develop appropriately.”

Republican lawmakers released the text of the CLARITY Act on Wednesday ahead of a possible Senate vote. The bill includes ethics provisions that have drawn concern from many Democrats because of US President Donald Trump’s crypto investments. As of Thursday, Senate leaders had not scheduled a vote on the legislation.

A central point of disagreement is whether the bill would allow crypto companies to pay users interest or yield on stablecoins outside the standard rules applied to financial institutions. Some leaders in traditional finance have opposed the legislation on that basis.

Jamie Dimon, CEO of JPMorgan Chase, said in a May interview that CLARITY would allow crypto companies to pay interest on stablecoins “without the protection that they should have,” a situation he said banks would not accept. The split between Solomon and Dimon underscores a broader divide within Wall Street over how quickly to embrace digital asset markets under a new regulatory perimeter.

Democrats criticize CLARITY Act ethics provisions

Although the crypto market structure bill is expected to move toward a Senate vote soon, Republicans will need some Democratic support to reach the 60-vote threshold. Many Democrats have said the ethics provisions advanced by Republicans do not go far enough to secure their support, partly because the bill assigns enforcement to the US Justice Department rather than state authorities.

Senator Elizabeth Warren, a Massachusetts Democrat, criticized the revised text on Wednesday in a statement, arguing that it would shield Trump from accountability.

“The bill goes even further to protect the President’s crypto profits by barring the next Department of Justice from ever holding Trump accountable,” Warren said. “On top of all of this, the underlying bill still fails to adequately protect investors, our financial system, and our national security. This bill should be dead on arrival.”