- Franklin Templeton joined BlackRock, Fidelity, and Goldman Sachs in backing the CLARITY Act.
- Polymarket gives the CLARITY Act only a 37% chance of passing in 2026.
- The updated CLARITY Act defines SEC and CFTC oversight while adding ethics restrictions.
Franklin Templeton has become the latest Wall Street firm to back the CLARITY Act, adding more weight to a growing push for a federal crypto market structure law in the United States.
The endorsement places the $1.79 trillion asset manager alongside BlackRock, Fidelity, Goldman Sachs and Charles Schwab, all of which are urging lawmakers to establish clear rules for digital assets.
The support comes as the Senate faces limited time to pass the legislation before the August recess. Prediction market Polymarket assigns only a 37% chance that the CLARITY Act becomes law in 2026, showing that traders remain cautious despite rising institutional backing.
Franklin Templeton Adds Its Support
Franklin Templeton announced its endorsement of the CLARITY Act on July 27. The firm said the bill would give investors a clearer understanding of the protections available in digital asset markets while providing companies with certainty over which federal regulator oversees their activities.
According to Franklin Templeton, the legislation delivers the regulatory clarity the crypto industry has been seeking for years.
Its backing expands an already powerful coalition of financial institutions supporting the proposal. BlackRock has called the bill an important step toward a digital asset framework that supports innovation while maintaining transparency and investor protection.
Meanwhile, Fidelity has argued that a consistent national framework would encourage responsible innovation and reduce regulatory uncertainty for market participants.
Goldman Sachs CEO David Solomon has also publicly supported the legislation, citing the banking sector’s growing interest in tokenization, digital asset custody, blockchain settlement and crypto trading services.
Also, Charles Schwab has similarly described the bill as a path toward broader adoption of digital assets by both institutions and retail investors.
Updated Bill Defines SEC and CFTC Roles
Senate Republicans released updated CLARITY Act language on July 22 after combining work from the Senate Banking Committee and Senate Agriculture Committee.
The revised proposal sets out how oversight would be divided between the Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC).
It distinguishes digital securities from digital commodities while introducing registration standards, disclosure requirements, customer protection rules, and preserving anti-fraud enforcement powers.
The latest version also includes ethics provisions preventing the president and other senior federal officials from issuing or sponsoring digital assets while in office. However, those provisions have become one of the bill’s biggest sticking points.
Related: Deconstructing the CLARITY Act: Senate Leaders Push Back on Critics
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