Coinbase's Chief Policy Officer Tells Elizabeth Warren She Has CLARITY Act ‘Exactly Backward’ On National Security

Faryar Shirzad argued that regulatory uncertainty creates opportunities for bad actors, while the bill would bring crypto platforms under stricter federal oversight.

• Coinbase Chief Policy Officer Faryar Shirzad said the CLARITY Act would strengthen, not weaken, U.S. national security protections.
• Senator Elizabeth Warren has warned that the legislation could facilitate sanctions evasion, citing concerns raised by national security experts.
• The debate comes amid growing scrutiny of Iran's use of cryptocurrencies and stablecoins to bypass U.S. sanctions.

Coinbase's (COIN) Chief Policy Officer pushed back against Senator Elizabeth Warren (D-Mass) on Saturday, arguing that her sanctions-evasion warning about the Digital Asset Market Clarity Act, known as the CLARITY Act, turns the bill's national security case on its head.

"The argument that the CLARITY Act compromises national security gets it exactly backward," Faryar Shirzad said. "Right now, the lack of clear rules is what leaves our financial system vulnerable because bad actors thrive in the shadows of regulatory uncertainty. This bill drags them into the light."

Shirzad said the bill, far from creating a "wild west," would require crypto platforms to follow the same national security standards as traditional banks.