Blockchain Association Defends CLARITY Act Against AML Misconceptions
The Blockchain Association has pushed back against claims that the CLARITY Act would weaken anti-money laundering (AML) rules. The group sent a letter to Senate Majority Leader John Thune and Senate Democratic Leader Chuck Schumer, arguing that the National Sheriffs' Association had misread the bill.
In the letter, the Blockchain Association stated that the CLARITY Act imposes strict obligations on intermediaries while clearly distinguishing simple software developers from financial intermediaries. The group also pointed out that businesses claiming decentralization while effectively controlling a protocol would not be able to evade regulation.
The association emphasized that it is essential to correct misunderstandings about the bill as the Senate approaches a crucial vote. A bipartisan amendment was sent to the White House last week, but no final agreement has been reached on Democrats' stronger ethics provisions tied to potential conflicts of interest involving President Donald Trump's crypto businesses.