Wall Street firms expanded tokenization and stablecoin initiatives despite Bitcoin recording back-to-back quarterly losses. Clarity Act talks continued as lawmakers, industry leaders, and law
Bitcoin ended the first half of 2026 with back-to-back quarterly losses, while institutional firms continued expanding crypto initiatives despite weaker prices. According to Crypto In America, Wall Street executives, lawmakers, law enforcement groups, and industry leaders spent the week discussing tokenization, stablecoins, market structure legislation, and regulatory priorities as Congress continued work on the Clarity Act.
Despite the market decline, institutional activity continued throughout the week. Executives from Morgan Stanley, Citi, BlackRock, DTCC, and other firms met during a ZeroHash conference at the New York Stock Exchange.
The discussions centered on tokenization, stablecoins, and onchain financial infrastructure. According to William Su, BlackRock's Head of Digital Assets Research, tokenization continues gaining attention because of atomic settlement, composability, and borderless payments.
Meanwhile, Open Standard named BlackRock among more than 140 organizations supporting its planned stablecoin initiative. Separately, ZeroHash CEO Edward Woodford said institutions increasingly view blockchain as financial infrastructure rather than only an investment asset.
Ryan Rasmussen, Head of Research at Bitwise, also said conversations with traditional investors now focus on regulation, tokenization, stablecoins, and prediction markets instead of short-term price declines.
While institutions expanded blockchain initiatives, lawmakers continued negotiations over the Clarity Act. According to Crypto In America, industry representatives, congressional staff, administration officials, and several law enforcement organizations met during the week.
Representatives from the Fraternal Order of Police, National Association of Police Organizations, National Sheriffs' Association, Major Cities Chiefs Association, and the International Association of Chiefs of Police attended one meeting.
According to sources, participants discussed provisions intended to strengthen investigations involving onchain crime. However, they did not address the Blockchain Regulatory Certainty Act during those discussions.
Separately, President Donald Trump's latest financial disclosure renewed debate over ethics provisions tied to crypto legislation. The filing showed more than $1 billion in crypto-related income, including over $695 million from meme coin royalties and more than $500 million from World Liberty Financial token sales.
The disclosure also listed holdings exceeding $50 million in Bitcoin and Ethereum. Following the filing, Senator Elizabeth Warren said Senate legislation should prevent the president and his family from profiting from crypto, while Senator Adam Schiff described the disclosure as "the cost of corruption."
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