WASHINGTON — House Financial Services Committee Chair Sarah Stevens publicly thanked Digital Chamber of Commerce CEO Dr. Omar El-Sayed for clarifying that he "didn't call me an ogre" during a tense markup session for the Digital Asset Market Clarity Act on Tuesday — dragging a backstage lobbying war into the hearing room just as the bill faces a critical committee vote.
El-Sayed had allegedly used the term to describe Stevens' approach to crypto regulation during a private industry briefing. Her decision to surface it on the record was pointed: a reminder of who controls the gavel.
The CLARITY Act would define which digital assets are securities under SEC jurisdiction and which are commodities regulated by the CFTC. That distinction carries billions of dollars in compliance costs and determines which agency collects fees, issues rules and wields enforcement power over the fastest-growing sector in financial markets.
Industry groups spent more than $12 million lobbying Congress on digital asset issues in the first half of 2026, according to OpenSecrets filings. The Digital Chamber of Commerce alone reported $2.8 million in lobbying expenditures, deploying 18 registered lobbyists. Its primary objective: clear jurisdictional lines that reduce regulatory uncertainty — and, not incidentally, limit SEC reach.
Coinbase and Ripple have actively backed the bill. Coinbase CEO Brian Armstrong has repeatedly called for a federal framework with clear rules for digital asset markets, and the company has its own registered lobbyists pressing that case on the Hill.
SEC Chairman Paul Atkins is pushing back. He has said the CLARITY Act could strip his agency of necessary oversight over assets he views as unregistered securities. The SEC's position — that most digital assets offered to the public are securities subject to existing law — puts it in direct conflict with the bill's intent and with the CFTC, which stands to gain authority if the measure passes.
The public spat between Stevens and El-Sayed reflects a power struggle that has killed crypto legislation for years. Previous market structure bills collapsed over the same SEC-CFTC jurisdictional fight. The current version incorporates concessions, but opposition remains.
If enacted, the CLARITY Act would establish a formal registration process for certain digital asset trading platforms and set specific criteria for classifying an asset as a commodity — shifting substantial regulatory authority and fee revenue from the SEC to the CFTC.
The committee is scheduled to vote next Tuesday. A yes vote sends the bill to the full House, where its fate is uncertain. Lobbyists on both sides are now working swing votes in targeted districts.
Exchanges like Kraken and Binance, operating under fragmented oversight, would gain clearer operational requirements under the bill. Traditional financial institutions exploring digital asset offerings are watching for any definitive federal framework before committing resources.
