Bankless Weekly Rollup: Clarity Bill Stalls | Powell vs. Trump | NYC Meme Rug | Silver Explodes | X Adds Crypto

Date: January 16, 2026
Hosts: Ryan Sean Adams & David Hoffman

Overview

This week’s Bankless Rollup dives deep into a tumultuous week for crypto policy and markets. The Clarity Bill—the landmark U.S. crypto legislation—hit serious hurdles in the Senate, embroiling the industry in a fierce fight over DeFi, stablecoins, and the very future of U.S.-based crypto innovation. Meanwhile, Fed Chair Jerome Powell faces a historic clash with President Trump, meme coin scams continue to embroil unsuspecting celebrities, silver prices go parabolic, and X (formerly Twitter) takes major steps towards becoming a crypto super app—all against a backdrop of robust crypto market action and ongoing global drama.

Key Discussion Points & Insights

1. Jerome Powell vs. Trump: Fed Independence Under Siege

Timestamps: 03:47 - 11:47

• Criminal Investigation: Trump’s Justice Department served Powell and the Federal Reserve grand jury subpoenas for alleged misleading Congress on a $2.5 billion Fed HQ renovation. Powell responded publicly, framing the probe as political retaliation for his resistance to lowering interest rates.

  • Quote:

    “But this unprecedented action should be seen in the broader context of the administration's threats and ongoing pressure. This new threat is not about my testimony last June… It is about [how] they don't like how I'm handling interest rates.”
    — Jerome Powell, [04:00]

  • Ryan and David analyze the historic nature of this attack, likening it to post-war executive-Fed clashes, and debate whether the Fed has ever truly been independent.
  • Ryan: “It truly is unprecedented territory. People say the Fed was never independent. Is this a Rubicon being crossed?” [07:10]

• Market & Political Calculus: Noah Smith frames these moves as “gangster affordability”—Trump applying every political lever (including oil negotiations with Venezuela) to lower household costs ahead of the election.

2. Market Impact: Silver Surges, Crypto Bumps, Asset Class Rotation

Timestamps: 11:54 - 18:43

• Silver Goes Parabolic:

  • U.S. Mint suspends silver coin sales as prices surge 42% in a month and 200% year-over-year.
  • Gold’s up 70% in the year; Bitcoin and Ether trail far behind in performance.

• Crypto's Modest Gains:

  • Ethereum and Bitcoin up 5% for the week, but remain “the forgotten asset class.”
  • Quote:

    “We are still not the star of any financial show whatsoever. We are still the forgotten asset class.”
    — David, [15:32]

  • ETH overtakes BTC for the first time in active addresses, reflecting surging transaction throughput and cheaper gas fees.
  • Discussion on whether the crypto rally has legs: No major positive catalysts outside the Clarity Bill, and attention is on large tech IPOs, not crypto.

3. Clarity Bill: The U.S. Crypto Market Structure Fight

Timestamps: 22:04 - 41:41

What is the Clarity Bill?

A sweeping U.S. legislative package, aiming to define digital commodities vs. securities, split SEC/CFTC jurisdiction, and set new rules for exchanges, brokerages, custodians, stablecoin issuance, DeFi, and developers.

Senate Struggles:

• Stalled Markups:

  • Senate Banking and Agriculture Committees each have divergent drafts (Banking leans SEC, Ag leans CFTC). Both postponed markups due to unresolved disputes and Coinbase’s high-profile withdrawal of support.
  • Quote:

    “Coinbase is now rage quitting… they say it’s worse than not passing at all.”
    — Ryan, [00:48]

• Lobbying Wars:

  • Banks lobby to kill stablecoin yield for ordinary users, seeking to keep interest for themselves.
  • Public campaign and Fox News ads urge anti-DeFi provisions, funded by undisclosed bank PACs.
  • Notable moment:

    “How many Fox News viewers are like, ‘DeFi, I hate that, I’m going to call my senator’?”
    — Ryan, [27:35]

• Key Factions:

  • Coinbase: Opposes the latest bill for its bans on tokenized equities, stablecoin yield, and potential privacy erosions.
    • Quote:

      “We’d rather have no bill than a bad bill.”
      — Brian Armstrong summarized by Ryan, [33:48]

  • Coin Center: Focuses on the new BRCA carve-out protecting non-custodial devs from money transmitter laws; views this as a “historic win” and supports the broader bill in its current form.

Top Industry Priorities (from Jake Chervinsky):

1. Preserve stablecoin yield for users (not just banks) [38:05]
   • Quote:

     “Somebody gets the yield. Either we protect the banks… or we allow innovation and yield to the people.”
     — David, [38:10]

2. Enable tokenized securities under the SEC
3. Reduce burdens for token issuers (esp. startups)
4. Limit surveillance/KYC requirements on DeFi devs/frontends
5. Actually allow institutional access to DeFi

Bill Status:

• Current status: Grade D+; core issues unresolved. “It has to be good to be worth passing,” says Ryan. [40:27]
• Odds: 44% probability of passage this year per Polymarket. [41:15]
  • “It’s the Punxsutawney Phil of this crypto winter,” (Matt Hogan), i.e., the bill’s fate will set the tone for the rest of the market’s cycle. [41:19]

4. Regulatory & Policy Side Stories

Timestamps: 28:41 - 30:45

• Blockchain Regulatory Certainty Act (BRCA): Carved out to protect developers and infra providers building non-custodial/dumb front-ends from being treated as money transmitters—widely supported, big win for “code is not crime.”
• Elizabeth Warren: Filed 38 anti-crypto/pro-KYC amendments to stall or cripple the bill; remains the central Senate antagonist for crypto developers.

5. NYC Meme Coin Rug: Celebrity Scams Go Political

Timestamps: 43:24 - 47:23

• Former NY Mayor Eric Adams launches $NYC meme coin, claims it’s to fight antisemitism/anti-Americanism.
  • Immediately rug-pulls $2.5M in liquidity after $600M valuation.
  • Quote:

    “Like Eric Adams is kind of using his celebrity to just launch a meme coin rug pull. That’s what it looks like.”
    — Ryan, [45:05]

  • Adams blames “partners” for the rug; the hosts suggest Adams may be a “useful idiot” for shadowy developers.

6. Polygon Bets Big on Stablecoin Infrastructure

Timestamps: 52:55 - 55:18

• Polygon acquires CoinMe (payment license) and Sequence (enterprise wallet infra) for $250M, signaling a shift toward being a “Stablecoin Chain” and vertically integrated payment stack.

7. Mr. Beast, Ethereum, & Tom Lee’s $200M Bet

Timestamps: 47:56 - 51:08

• Ethereum mega-holder Tom Lee (Bitmine) invests $200M in Mr. Beast Media from the protocol’s treasury.
  • Quote:

    “Probably one of the most important creators in the world... so a collaboration and investment into Beast Industries makes sense.”
    — Tom Lee, [48:42]

  • David jokes Tom Lee’s explanation still doesn’t clarify the synergy other than wanting exposure to the world’s top influencer.

8. X Supercharges Crypto: Smart Cashtags, DeFi Buy/Sell, InfoFi Clampdown

Timestamps: 55:28 - 59:36

• New “Smart Cashtags:” Interactive tickers in posts allow in-line price charts and, crucially, buy/sell via Solana’s blinks tech—moving X toward a crypto super-app.
• API Clampdown:
  • X restricts Kaido and engagement farming/bounty platforms, aiming to improve info quality.
  • Quote:

    “It distorts the noise...degrades the value of Twitter as an information ecosystem.”
    — David, [58:31]

9. Polymarket & Prediction Markets Go Mainstream

Timestamps: 60:32 - 66:16

• Polymarket prediction markets featured at the Golden Globes, reflecting live odds for awards—a sign of increasing cultural penetration.

• Geopolitical Trading:

  • Real-time speculations on Regime changes in Iran (Khamenei) aired as examples of the new era of “price-based” news and public sentiment.

• Ethics Discussion: Is it dystopian to profit from regime change or political crises?

  • Quote:

    “A lot of society is just not ready to understand there can be a relationship between money and people’s lives. But as a media consumer…seeing this in a chart is so much more valuable.”
    — Ryan/ David, [65:00-66:16]

Memorable Quotes

• “Maybe he’s opinionated… but he’s not biased to whatever a short-term president is interested in.” —David, on Jerome Powell, [08:36]
• “I’ll be friends with silver people, I’ll be friends with gold people. I will not be friends with crypto short sellers.” —David, [15:41]
• “Code is not crime, basically.” —Ryan, summarizing the BRCA, [29:54]
• “It’s impressive. She [Elizabeth Warren] filed 38 different amendments… all of the things you would expect.” —Ryan, [32:42]
• "You can't just clone Ethereum L1 DeFi and say 'we're that, but with cheaper gas.' Solana was the last to do that." —Ryan, [55:18]

Noteworthy Timestamps for Key Segments

• Powell vs. Trump Segment: 03:47 – 11:47
• Silver & Market Moves: 11:54 – 18:43
• Clarity Bill In-Depth Breakdown: 22:04 – 41:41
• BRCA & Developer Protections: 28:41 – 30:45
• Eric Adams NYC Meme Rug: 43:24 – 47:23
• Polygon Acquisitions: 52:55 – 55:18
• Mr. Beast & Ethereum: 47:56 – 51:08
• X Adds Crypto & API Clampdown: 55:28 – 59:36
• Polymarket at Golden Globes & Prediction Markets: 60:32 – 66:16

Conclusion

This episode captures a pivotal week for crypto. U.S. policy tangles threaten to reshape the industry, with the Clarity Bill’s fate intertwined with partisan squabbles, bank lobbies, and the future of DeFi. Markets churn as global politics, commodity surges, and mainstreaming of prediction tools all reflect crypto’s growing significance—and persistent challenges. Meanwhile, cultural oddities—like meme coin rug pulls from ex-mayors—show just how wild this new frontier remains.

Ryan’s sign-off:

"Crypto is risky. You could lose what you put in…but we're glad you're with us on the Bankless journey." [66:16]