CLARITY Act Stalls Amid Ethics Dispute Over Trump

The CLARITY Act, a bipartisan bill aiming to create a formal market structure framework for digital assets in the US, is facing trouble ahead of its September 15 Senate vote. Republican senators are warning that the bill may fail due to disagreements over ethics language covering President Trump and his family.

The central issue centers around the White House's stance on including specific ethics safeguards applying to the president and his relatives. Democrats argue this is necessary due to Trump's substantial personal financial exposure to crypto, while Republicans claim it's a bargaining tool for broader regulatory concessions.

Despite the administration's reassurances that Trump wants the bill passed, the gap between the White House and Democratic negotiators remains wide. The Senate vote requires 60 votes to advance debate, and with Republican senators sounding alarms, it's unclear whether a deal can be reached before September 15.