Senate Republicans Revamp CLARITY Act Ahead of Crucial Vote
Senate Republicans have released an updated version of the CLARITY Act ahead of its September 15 procedural vote. The bill, which aims to provide clarity on cryptocurrency and digital assets, now includes more than 115 changes requested by Democrats.
The revised text introduces new rules for non-decentralized DeFi protocols, requiring them to register with the Commodity Futures Trading Commission (CFTC). This change addresses concerns about platforms that market themselves as decentralized but do not function that way.
Credit unions also gained clearer authority to deal in cryptocurrency under the revised language. Senate Republican Cynthia Lummis of Wyoming described the revisions as a result of bipartisan negotiations, stating that the updated text contains over 100 changes requested by Democrats.
The changes, however, do not alter the ethics section or stablecoin yield provisions, which remain a major obstacle to Democratic support for the bill. Democrats have pushed for provisions requiring elected officials to divest relevant crypto interests or place them in blind trusts.