BitGo CEO Warns Clarity Act Failure Could Expose U.S. to Systemic Risk

BitGo CEO Mike Belshe warned that failure of the Clarity Act could expose the U.S. market to systemic risk if one company combines exchange, brokerage and custody operations.

Belshe said a brokerage failure would differ from the collapse of an exchange that also holds client assets. In his comparison, such an exchange’s failure could bring down the entire market, a risk he said was not present even during Lehman Brothers’ collapse.