Senate Republicans Revise Clarity Act Ahead of Key Crypto Vote
Senate Republicans have released a revised version of the Clarity Act, which adds federal oversight for certain crypto trading protocols. The 630-page draft includes rules for trading protocols that fail to meet its decentralization standard and creates a new category called 'non-decentralized finance trading protocol.'
The bill requires these protocols to register with the Commodity Futures Trading Commission and directs the CFTC and Treasury Department to develop implementing rules. This move aims to separate systems operating without a controlling party from platforms marketed as decentralized while retaining identifiable management or upgrade authority.
The revised Clarity Act retains an ethics provision restricting public officials, government employees, and their spouses from issuing or sponsoring digital assets. Enforcement authority would remain primarily with the Justice Department, while the restriction would expire in January 2029.