US Senate Faces Deadline on Clarity Act as Ethics Dispute Persists

The US Senate is facing a tight deadline to pass the CLARITY Act, which aims to define the structure of the US digital-asset market. The bill includes an ethics provision that would ban senior public officials from issuing or sponsoring their own digital assets.

Democratic senators have objected to this provision, citing concerns about investor protection and national security provisions. They also argue that the provision would lapse as soon as the next president takes office, making retroactive application impossible.

The crypto industry is urging lawmakers to pass the measure, warning that if it fails, investor safeguards would disappear. The White House's crypto adviser, Patrick Witt, called the ethics provision the 'broadest ethics provision ever approved by a US president.'