Cardano’s Hoskinson Demands Trump Crypto Czar Resign as CLARITY Act Expires
Cardano founder Charles Hoskinson publicly called for the resignation of President Trump’s crypto czar after the CLARITY Act — a proposed U.S. regulatory bill aimed at defining crypto rules — appeared to be failing to advance in Congress. Hoskinson criticized the administration’s handling of crypto policy and argued that the crypto czar’s continued position was untenable given the stalled legislation and lack of clear regulatory progress. The CLARITY Act sought to clarify how digital assets should be treated under securities and commodities law; its apparent collapse has raised concerns among stakeholders about regulatory uncertainty. The article highlights tensions between industry leaders and U.S. policymakers at a moment when clear regulatory guidance is considered important by crypto businesses and institutional investors.
Bearish
Regulatory uncertainty typically weighs on crypto markets. The reported failure or stalling of the CLARITY Act removes a potential pathway to clearer rules in the U.S., increasing legal and compliance risk for projects and institutional participants. Public criticism from a high-profile founder like Charles Hoskinson signals deteriorating industry-government relations, which can reduce investor confidence. In the short term, traders often react negatively to news that increases uncertainty or suggests harsher enforcement, so expect downward pressure or higher volatility for tokens tied to policy-sensitive firms (e.g., those seeking U.S. listings or institutional adoption). In the medium-to-long term, persistent regulatory ambiguity can slow institutional inflows and project development in the U.S., prolonging weaker demand. However, if new legislation or clearer guidance emerges later, the market could recover; past episodes (for example, SEC enforcement waves or stalled crypto bills) show initial selloffs followed by rebounds when clarity arrives.