Treasury's Bessent sees crypto as America's next tool for keeping the U.S. dollar on top

However, the White House’s broader push to regulate crypto markets suffered a setback after Congress failed to pass the Clarity Act, which would have established a federal framework for the industry.

Bessent called the failure a disappointment but said the Treasury Department could work with regulatory agencies like the Securities and Exchange Commission (SEC) and Commodity Futures Trading Commission (CFTC) to advance oversight through agency action.

"At Treasury, we have a lot of convening powers," he said, describing the SEC and CFTC as “great partners” in forming a regulatory framework that could serve as a model for other countries.

The agencies' regulatory efforts could provide more clarity for crypto firms, though rules adopted by regulators would lack the permanence of legislation.