US Senate Releases Revised Clarity Act Ahead of Key Vote

A revised version of the Clarity Act has been released by U.S. Republican senators in an effort to move forward with discussions on the bill ahead of a key vote on September 15.

The revised 630-page document includes provisions clarifying the scope of federal credit unions' use of digital assets and specifies requirements for recognition as decentralized finance (DeFi).

A protocol is not recognized as decentralized if it can be controlled or materially changed by a specific person or group, if it operates solely by predetermined transparent code rules, or if someone can restrict its use or censor it.

The bill aims to establish a federal digital asset market structure by classifying digital assets as securities, commodities, or stablecoins and dividing oversight authority between the Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC).