Senate Proposes Revised Ethics Language for CLARITY Act
US Senate negotiators have revised their proposal for ethics language in the CLARITY Act, addressing concerns over enforcement authority. The new language would allow state authorities to enforce restrictions on federal officials' crypto activities, rather than leaving it solely to the Department of Justice.
The revision comes as bipartisan talks continue ahead of the August recess, with Treasury Secretary Scott Bessent urging the Senate to vote on the legislation before then. The CLARITY Act aims to provide clarity in the digital asset market and has been met with opposition from some Democrats over ethics concerns.
Republican Senator Thom Tillis and Democratic Senator Ruben Gallego proposed the revised ethics language, which addresses one of the main sticking points in negotiations. State authorities would be able to enforce a ban on federal officials issuing or sponsoring digital tokens under the new proposal.