Strategy founder Michael Saylor believes the Clarity Act is a good thing instead of bad.

Strategy founder and chairman Michael Saylor, a practitioner of the Bitcoin corporate strategy, wrote on social media X Saturday that while the much-anticipated cryptography legislation - the Clarity Act - was blocked in the Senate this week, it is not necessarily bad news for the industry. His central point: Legislation both establishes rights but may also permanently restrict them, with the industry waiting for Congress to take action rather than relying on regulators' current rule-making processes.

Legislation held back, regulation moved forward

This week, the U.S. Senate failed by a vote of 49 to 50 to move forward with an industry long-awaited bill that would formally divide regulatory responsibilities and clarify which digital asset s are securities and which are commodities or stablecoin .

Despite the legislative deadlock, the US Securities and Exchange Commission (SEC) and Commodity Futures Trading Commission (CFTC) are still developing their own rules to move forward. Saylor specifically mentioned two signals: SEC has granted conditional exemptions on some of its token crypto stocks for trading in on-chain , while the CFTC chairman also stated that he would take action even if not authorized by the bill. In his view, these moves were enough to give crypto businesses a needed regulatory framework.

The next two years should give way to market innovation

Saylor writes in his post that the current administration is committed to modernizing financial markets, and the industry should take advantage of the next two years to get better quality products into people's hands.

In addition, he questioned some of the provisions in the bill. For example, it proposes to restrict payments to users who hold payment form stablecoin , which Saylor believes is not beneficial for the crypto industry as such.

Legislation for gambling goes back and forth

President Trump last month urged lawmakers to pass the bill, a move that would have triggered Bitcoin for once. But Republicans have warned repeatedly in recent months that Democrats are deliberately delaying this legislation.

The industry has a long-standing desire for clear rules. During the Biden administration, regulators repeatedly fined businesses in digital asset on suspicion of selling unregistered securities under false pretences, and since then leading companies and practitioners have continued to call on Congress to enact clear supervisory rules. Now that the bill is blocked, Saylor's statement represents some voices from the industry: it would be better to explore this issue first within an existing regulatory framework with its potentially restrictive wording.

(This article is compiled from Bitcoin Magazine, by Mathew Di Salvo and represents publicly reported facts only; it does not constitute any investment advice.