White House crypto council director Patrick Witt said at the Financial Markets Quality conference at Georgetown University that the CLARITY Act failed because Democrats politicized it. He said Democrats did not apply similar government ethics scrutiny to a recent major housing bill, calling that approach hypocritical. According to Foresight News, Witt said President Donald Trump agreed to two unprecedented ethics provisions.

Witt also accused banking lobby groups of influencing the bill's outcome by arguing that stablecoin yields would compete with interest-bearing bank deposits. He said large banks started the issue and it spread to community banks, adding that if the bill truly threatened the community banking system, he expected those banks to return to Capitol Hill and push for its passage.