After months of negotiations, Republican senators introduced a new version of Clarity Act, a bill that seeks to create a regulatory framework for the cryptocurrency market in the United States. The consolidated text brings together proposals previously approved by the Senate Agriculture and Banking Committees and could be brought to the floor in the coming weeks.
The update to the proposal seeks to unlock one of the issues that most divided lawmakers during its progress: the definition of rules to prevent federal authorities from obtaining financial gains from digital assets while holding public office.
The debate intensified after the release of financial documents related to the current president of the United States, Donald Trump. The disclosures showed revenues of millions of dollars associated with World Liberty Financial, a company linked to the Trump family, increasing pressure for Congress to establish stricter rules on conflicts of interest involving cryptocurrencies.
NEW: Senate Republicans have just released an updated version of *Clarity Act*, after informational meetings held this morning with stakeholders. Below, we present some of the main provisions of the latest text, covering ethics issues, the BRCA, and other areas we have been closely following.
The new wording determines that presidents, vice presidents, members of Congress, other federal officials, and their respective spouses may not issue or promote digital assets during the exercise of their terms. On the other hand, the bill maintains the possibility for these authorities to invest in cryptocurrencies privately.
Another point that draws attention is the expiration date of these rules. The text establishes that the ethics section "shall have no force or effect after noon on January 20, 2029," causing the restrictions to cease producing effects after that date, absent any legislative change.
Responsibility for enforcing these rules would fall to the Department of Justice. The model, however, continues to be the target of criticism among Democratic lawmakers, who support the participation of state attorneys general in overseeing the new rules.
"The Department of Justice enforcing an ethics clause? That is not a serious proposal, and I would not support the bill if that were the wording. But we will continue working from this basis to reach an agreement that holds us all accountable," said Senator Angela Alsobrooks.
In addition to the ethics-related changes, the proposal incorporates the so-called Blockchain Regulatory Certainty Act, considered one of the main demands of the cryptocurrency industry. The provision clarifies that developers of non-custodial blockchain software should not be classified as money transmitters, reducing regulatory uncertainty for companies and projects in the sector.
Industry representatives say the measure offers greater legal certainty for those developing decentralized protocols and may encourage these initiatives to remain in the United States. Conversely, entities linked to public safety and religious organizations argue that the change could hinder investigations into financial crimes and human trafficking.
The CEO of the Digital Chamber, Cody Carbone, described the proposal as a "significant step."
"Now is our best chance to pass a lasting market structure law that allows the United States to become global leaders in digital assets," said Carbone. "We are optimistic and ready to continue working until the bill reaches the President's desk."
Despite progress in the negotiations, Clarity Act still depends on the support of some Democratic senators to be approved. If it receives the green light before the August congressional recess, the proposal will move on to analysis by the House of Representatives, continuing the process of defining the rules for the cryptocurrency market in the United States.
