A fresh round of disagreement over the CLARITY Act has revealed ongoing concerns originating from the Hyperliquid Policy Center (HPC), as lawmakers prepare for a potential Senate Banking Committee markup.
The debate intensified after a potential deal surfaced earlier in the week, suggesting the bill would broadly bar platforms from offering yield on stablecoins or assets that operate like bank deposits. That provision, along with other unresolved clauses, has prompted a flurry of comments from industry figures and lawmakers.
Hyperliquid Policy Center CEO’s WarningJake Chervinsky, CEO of the recently launched Hyperliquid Policy Center, took to social media platform X (previously Twitter) to push back on how the debate has been framed.
At the heart of Chervinsky’s argument is the Blockchain Regulatory Certainty Act (BRCA), which appears as Section 604 in the last Senate Banking draft.
The BRCA explicitly clarifies that “non‑controlling developers and providers” are not financial institutions required to meet know-your-customer (KYC) obligations under the Bank Secrecy Act.
“Those sections must be fixed or the bill doesn’t work for DeFi,” he warned. “If the bill doesn’t work for DeFi, it doesn’t work at all.”
Senate Banking Markup Date Remains UnclearSenator Cynthia Lummis, a leading GOP negotiator on the measure, responded directly to the social media post and sought to reassure stakeholders that bipartisan progress is near.
All this unfolds while the timetable for a formal Senate Banking Committee markup remains unclear. The Agriculture Committee has already approved its portion of the legislation in January, but the banking panel has not yet scheduled a markup.
At the time of writing, decentralized exchange Hyperliquid’s native token, HYPE, was trading at roughly $38.5, down 1.6% in the previous 24 hours. Nonetheless, the token has made 33% increases in the monthly time frame, outperforming the largest cryptocurrencies during the same time period.
Featured image from OpenArt, chart from TradingView.com
