Bessent: Banks and Crypto May Offer Similar Products
During a Senate Banking Committee hearing, U.S. Treasury Secretary Scott Bessent responded to Republican Senator Cynthia Lummis’ question by suggesting that traditional banking and the crypto industry may eventually offer similar financial products.
Bessent noted that the government is currently working with small and community banks to explore how they can participate in the digital asset revolution. He emphasized the need to strike a balance between regulation and innovation to ensure sustainable growth.
Clear Regulations Are Essential
Bessent reiterated that the crypto industry cannot thrive without a clear regulatory framework. He urged industry players to support the CLARITY Act, a legislative proposal currently under congressional review aimed at defining market structure.
He added that market participants who oppose the Act are free to seek opportunities in more crypto-friendly jurisdictions like El Salvador.
Regulation and Innovation Go Hand in Hand
- Promoting the CLARITY Act
- Exploring convergence between traditional banks and crypto assets
- Ensuring regulation supports innovation
Bessent stressed that the U.S. government aims to bring strong regulatory standards to crypto while preserving its innovative potential. He noted that stakeholders are actively seeking a balance between oversight and freedom.