State Attorneys General Unite Against Digital Asset Market Clarity Act

Attorney General William Tong of Connecticut has joined forces with 16 other state attorneys general to express their opposition to the Digital Asset Market Clarity Act (Clarity Act) in a bipartisan letter to Senators Tim Scott and Elizabeth Warren.

The attorneys general warn that the Clarity Act would jeopardize their ability to protect investors from cryptocurrency scams, which have been escalating rapidly. In 2025, the FBI reported $11.4 billion in losses related to cryptocurrencies, a 22% increase from 2024, with an average reported loss of $62,604.

Attorney General Tong stated that 'no one trusts the Trump Administration to protect us from crypto scams, not when Trump himself and his own family are grifting off this same gravy train.' The attorneys general caution that the Clarity Act would prevent states from serving as the first line of defense against cryptocurrency fraud.

The letter emphasizes that state enforcement powers have been crucial in fighting the crypto fraud epidemic, with over 330 anti-fraud enforcement actions brought by states since 2017. The attorneys general advocate for legislation that would preserve states' role in regulating cryptocurrencies and protect consumers from scams.