CLARITY Act would be ‘excellent for the system,’ says Citi CEO – Will it pass?

The delay in the approval of the CLARITY Act is now pushing traditional banks, which were once against crypto, to demand the approval.

As of the latest update, Jane Fraser, CEO of Citigroup, recently backed the market structure bill, arguing that more transparent crypto regulations would improve financial system predictability and enable banks and crypto firms to operate under comparable regulations. 

Speaking with Fox Business, Fraser said, 

So we have not given up on pushing to get some improvements made to the bill, but we would like to see a good bill go through. I think it would be excellent for the system.

The bank remains pessimistic for Bitcoin

This is a bit eye-catching because Citi is still cautious about Bitcoin [BTC]. In fact, the bank has also lowered its 12-month target from $112,000 to $82,000 due to softer demand, weak ETF inflows, and stalled regulation.

While many think that Bitcoin could eventually reach $1 million due to institutional adoption and more transparent regulations, Citi sees a $53,000 (bear case)–$108,000 (bull case) price target. 

Nevertheless, despite Citi’s pessimism, Wellington-Altus Private Wealth’s Chief Market Strategist James Thorne is essentially bullish on Bitcoin, as he said,