BitGo CEO: The failure of the Clarity Act poses systemic risks to the U.S. market

According to The Block, BitGo CEO Mike Belshe warned that the failure of the Clarity Act poses systemic risks to the U.S. market, as the same company simultaneously holds exchange, brokerage, and custody businesses.

He stated that this structure presents risks that even Lehman Brothers did not face: a brokerage can go bankrupt, but if the exchange holding the custody assets goes bankrupt, it could collapse the entire market.