The Senate Banking Committee is scheduled to mark up the CLARITY Act, a sweeping crypto market structure bill that would establish a comprehensive federal framework for digital asset classification and trading. Banking industry groups have raised formal objections, signaling contentious provisions around custody, lending, and permissible bank activities in digital assets. The markup represents the furthest this legislation has advanced in the legislative process.
For Armada's crypto-repo desk, the bill's classification of BTC, ETH, and SOL as commodities or securities determines which regulatory regime governs collateral eligibility, margin rules, and counterparty obligations under repo agreements. Any reclassification could also affect Fireblocks custody arrangements and Armada's no-rehypothecation policy if new rules impose segregation or disclosure requirements.