White House Weighs Compromise on CLARITY Act Ethics Provisions

The White House is currently reviewing a compromise on ethics provisions within the CLARITY Act, which aims to establish a clear regulatory framework for digital assets. The revised proposal, drafted by Republican Senator Thom Tillis and Democratic Senator Ruben Gallego, was delivered to the White House on July 30.

The inclusion of state attorneys general in the enforcement process is seen as a significant concession, potentially giving states a more prominent role in policing the crypto market. This compromise emerges after months of negotiations, with the White House previously expressing concerns over certain ethics provisions.

Crypto industry participants have been actively lobbying for the bill's passage, emphasizing to the White House that an agreement on the ethics provisions is essential. The White House's review is expected to conclude soon, and a decision could pave the way for a Senate vote as early as next week.