Good news right now about the Bitcoin and crypto market structure bill, the Coinbase CEO says it will not pass within this month.
This bill could change how crypto trades forever.
The CLARITY Act is a market structure bill focused on one thing: stopping manipulation and bringing real transparency to crypto markets.
What does it actually do?
• Bans wash trading and fake volume
• Criminalizes spoofing and front running
• Gives regulators real time tools to monitor market abuse
• Requires proof of reserves and regular audits for U.S. exchanges
WHY THIS ACT IS IMPORTANT?
Now look at what happened on October 10.
That day, the crypto market saw $100 billion + in real liquidations.
Bitcoin and altcoins collapsed together.
To this day, we don’t know exactly how it started, we don’t know which large entities blew up.
There was no clear report, transparency or accountability.
Since then, market crypto has behaved very weirdly.
Almost every asset class outside crypto has made new highs.
But in crypto, every pump gets fully sold, Good news leads to dumps and Bad news leads to even sharper dumps.
This is not normal price action.
This is exactly what the CLARITY Act targets.
If rules for this are in place then large liquidations can’t happen quietly, market abuse becomes traceable and exchanges can’t hide fake volume or risk.
It also changes who participates.
Right now, institutions mostly hold Bitcoin only. They avoid altcoins because the rules are unclear.
If the CLARITY Act passes regulatory risk will drop and institutions will start allocating to altcoins as well which could bring a massive liquidity.
