JPMorgan urged Congress on June 29 to adopt a regulatory framework for digital assets that fills existing gaps, warning that without appropriate safeguards the market could pose risks to consumers and financial stability. The Senate is considering the Digital Asset Market Clarity Act, which cleared the Senate Banking Committee and faces unresolved issues before the August recess. In a blog post authored by Umar Farooq, global co‑head of JP Morgan Payments, and Peter Muriungi, CEO of Digital Assets and Blockchain Solutions, the bank said crypto assets that function like securities or operate as exchanges should be subject to the same investor‑protection, disclosure and market‑integrity standards as traditional finance. The bank called for robust rules on stablecoins and tokenized deposits, including capital, liquidity and consumer‑protection requirements, and for preserving anti‑money‑laundering and law‑enforcement tools. Executives noted that tokenization could speed payments and cross‑border transfers, but said those benefits depend on regulatory clarity and strong protections. JPMorgan also warned that offering rewards or cashback on stablecoin balances could mislead consumers and trigger rapid withdrawals during market stress, and that exemptions for parts of the crypto ecosystem could create blind spots for illicit finance. The legislation aims to advance before the August recess, but its passage this year remains uncertain as negotiators continue to address disputes over ethics rules, decentralized‑finance liability protections and stablecoin yield provisions.