Warren Slams CLARITY Act as 'Special Treatment' for Trump

Democratic Senator Elizabeth Warren has criticized the CLARITY Act, a digital asset regulation bill in the U.S. Senate, saying it would make it easier for criminals and cartels to move money and raise operating funds.

Warren stated that the bill fails to properly protect investors and the financial system, and that its ethics clause is insufficient to prevent conflicts of interest tied to President Donald Trump's cryptocurrency business.

The core of the controversy revolves around the effectiveness of the ethics clause, which Republicans claim bans federal officials from issuing or sponsoring digital assets. However, Warren argues that this clause alone would make it difficult to resolve conflict-of-interest issues involving Trump.

The debate over the CLARITY bill has also drawn in the financial sector, with banks voicing concerns about stablecoin provisions and large banks offering public support for the bill.