Franklin Templeton Backs CLARITY Act

Wall Street Coalition Backs Landmark Crypto Bill

Franklin Templeton, one of the world's largest asset managers, has publicly endorsed the CLARITY Act, the most significant US crypto market structure legislation to date. The $1.79 trillion firm joins BlackRock, Fidelity, and Goldman Sachs in backing the bill. In its statement, Franklin Templeton said the legislation would clarify how crypto is regulated, so investors know what protections apply and businesses know which regulators oversee crypto.

The asset manager has been an active participant in the digital asset space, notably launching one of the first tokenized money market funds on a public blockchain. Its support signals that mainstream financial institutions are increasingly seeking regulatory certainty before deepening their involvement in digital assets.

Where the Bill Stands

The CLARITY Act, formally the Digital Asset Market Clarity Act of 2025, aims to resolve a long-standing jurisdictional dispute between US regulators. At a practical level, the bill seeks to classify digital assets based on their economic function and network characteristics, and divide authority between the SEC, the CFTC, and banking regulators. It would give the CFTC a central role in regulating digital commodities and related intermediaries, while preserving certain aspects of SEC authority over primary market crypto transactions.

The House passed the CLARITY Act 294-134 on July 17, 2025, the most comprehensive crypto bill ever to clear a chamber of Congress. The Senate Banking Committee approved the bill on May 14, 2026, by a reported 15-9 vote. However, the bill has stalled in the full Senate awaiting 60 votes for passage, and with the August recess looming, its passage in 2026 is increasingly uncertain.

A full Senate vote now hinges on three unresolved fights: stablecoin yield, DeFi oversight, and an ethics provision aimed at officials profiting from crypto. Nonetheless, the growing roster of institutional backers adds pressure on lawmakers to act. Franklin Resources Inc. reported more than $250,000 in first-quarter 2026 lobbying expenditures focused on digital asset market structure initiatives and stablecoin legislation.

Sources:
CryptoTimes: Franklin Templeton Backs CLARITY Act as Senate Deadline Nears
Blockchain Council: CLARITY Act Explained
Congress.gov: Overview of H.R. 3633, the CLARITY Act