CLARITY Act Criticized for Exposing Workers to Unregulated Cryptocurrency
The AFL-CIO is opposing the CLARITY Act due to concerns it would allow volatile cryptocurrency assets to access pension and retirement investments without proper oversight. The bill, backed by venture capital firms and tech corporations, aims to lower regulatory standards for digital assets.
According to Gallup polling, 71% of American adults approve of labor unions, while 52% of Republicans support them as well. However, corporate lobbying efforts, led by Silicon Valley firms that have spent over $300 million in political spending, are pushing the CLARITY Act.
The bill would allow crypto companies to opt out of strict Securities and Exchange Commission oversight and choose the Commodity Futures Trading Commission as their regulator instead. This would expose retirement accounts and the economy to unvetted digital assets without workers' consent.