CLARITY Act Gets Final GOP Offer Before Senate Vote

Senate Democrats have reviewed a final version of the Republican-backed CLARITY Act proposal ahead of a procedural vote on September 15. The revised bill addresses many of the concerns raised by Democratic negotiators and includes 126 changes to the original draft.

The new provisions would require federally elected officials, federal judges, and their spouses to divest or place in a blind trust certain substantial crypto-related financial interests. This is seen as one of the toughest ethics restrictions in U.S. history, according to sponsors.

The CLARITY Act also includes a circuit-breaker provision that gives the Treasury secretary authority to respond to widespread deposit flight linked to payment stablecoins. This would allow federal intervention if authorities find evidence of such movements affecting community banks.