White House Official: Failing to Regulate Crypto Will Benefit China

A White House official and conservative commentators warned that stalling the proposed “Clarity Act” — a comprehensive US crypto regulatory bill championed by Sen. Tim Scott — risks ceding leadership in digital assets to China. The article highlights legislative gridlock: the bill is stalled in the Senate Banking Committee, Sen. Thom Tillis is seeking to delay consideration until May over stablecoin yield language, and the GOP holds only a one-vote committee majority, requiring unanimous support. The piece flags a leadership vacuum in the West Wing to coordinate policy. Market impact: prolonged regulatory uncertainty could slow US institutional adoption, hinder compliance-driven market growth, and encourage capital, talent, and infrastructure to migrate to friendlier jurisdictions, potentially altering flows across crypto markets (notably Bitcoin) and raising geopolitical risk premia.