The currently trending Clarity bill aims to clearly distinguish virtual assets as 'securities' and 'commodities.' There are advantages if coins are classified as commodities.
- Favorable for attracting institutional investors.
Being classified as a commodity proves a 'mature blockchain system' (a blockchain not controlled by individuals or groups), which can gain market trust and facilitate participation from institutional investors such as asset management firms, hedge funds, and banks.
- Regulatory burden is reduced.
The SEC has considered virtual assets as securities and has applied strict regulations, while the CFTC applies relatively flexible regulations. If classified as a commodity, coin issuers or exchanges can escape the SEC's stringent registration and reporting requirements.
- Favorable for ecosystem expansion.
If classified as a commodity, regulatory barriers for activities like staking and DeFi may be lowered.
Currently, Bitcoin, Ethereum, and Cardano are mentioned as 'Likely Mature.'
🚨BREAKING: The Clarity Act now recognizes only three blockchains as “Likely Mature” under 🇺🇸U.S. standards: Bitcoin, Ethereum, and Cardano.

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