Having cryptocurrency rules is ‘very important’

goldman sachs CEO David Solomon said Wednesday that it is “very, very important that we codify a rules-based system for how cryptocurrencies and related financial products operate” in the United States.

“As Americans, I think it’s very important that we do the right thing over the long term when we pass legislation,” Solomon told CNBC’s Sarah Eisen in front of attendees at the World Liberty Forum, hosted by the Trump family’s cryptocurrency venture, World Liberty Financial, at the Mar-a-Lago Club in Palm Beach, Florida.

“We believe we need a rules-based system to operate the market safely and soundly,” Solomon said. His company is one of the world’s leading traditional investment banks. “Our banking system is unique and our banking system must coexist with this technological innovation.”

“If anyone thinks they’re going to operate in this environment without rules, they’re probably wrong and they should move to El Salvador,” Solomon said.

The CEO echoed comments made by Treasury Secretary Scott Bessent during his testimony before the Senate Banking Committee on February 5th in support of the CLARITY Act.

Purchased by the Salvadoran government Bitcoin Due to the drop in Bitcoin prices, the value of El Salvador’s Bitcoin holdings has fallen from last year’s high of $800 million to about $500 million.

Solomon’s comments come weeks after a Senate committee advanced the CLARITY ACT, which would create a national regulatory structure for cryptocurrencies.

The bill has been stalled in a dispute over whether digital asset companies can offer rewards to customers or payments for stablecoins held by digital asset companies. Banks have opposed such fees, saying they could conflict with interest payments on depositors’ accounts.

“We have to get this CLARITY Act across the finish line,” Bessent said during testimony before the Banking Committee after Wyoming Republican Sen. Cynthia Lummis asked for his opinion on the importance of “clear rules” for cryptocurrencies in the United States.

Solomon said on Wednesday that he is “very interested” in crypto-related businesses.

“We are obviously doing a lot in terms of digitization and tokenization,” he said.

“We touch on all of those things,” Solomon said.

But, he added, “that doesn’t mean it’s the core of our business. These types of assets are still a small part of Goldman’s business.”

“We have customers, customers have needs, and we are here to serve our customers.”

Sen. Bernie Moreno (R-Ohio) told Eisen on CNBC’s “Squawk Box” during Wednesday’s meeting that he still had “some concerns” about the Cryptocurrency Market Structure Act, but “hopefully it will be passed by April and President Donald Trump can sign it.”

Moreno dismissed concerns that if the bill is not passed soon, Democrats could regain control of the House and Senate majorities and the bill could die. Republicans are increasingly concerned that they will lose at least the House majority in the November midterm elections.

“The House is not going to go Democratic, and the Senate is not going to go Democratic,” Moreno predicted.

coinbase When asked about the crypto bill, CEO Brian Armstrong said, “We now have a path forward with a win-win-win outcome. A win for the crypto industry, a win for the banks, and a win for the American consumer to see President Trump’s crypto policies through to fruition and make the United States the crypto capital of the world.”