Senate Republicans Release Updated CLARITY Act; Ethics Provisions Draw Democratic Opposition

Senate Republicans have unveiled updated legislative text for the CLARITY Act, with proposed ethics rules emerging as the central point of contention during negotiations, according to crypto journalist Eleanor Terrett.

Under the revised proposal, the president, vice president, members of Congress, federal judges, and other covered public officials would be prohibited from launching or endorsing digital tokens in exchange for payment while serving. The measure would further require affected officials to dispose of their crypto assets or move them into a blind trust for as long as they remain in office.

The legislation further expands enforcement by granting the U.S. Department of Justice (DOJ) civil enforcement authority over violations of the ethics provisions. That proposal has drawn opposition from Democrats, making it one of the primary areas of disagreement surrounding the bill. 

Beyond the ethics changes, the updated CLARITY Act retains several provisions included in earlier drafts. These include language related to the BRCA, stablecoin rewards and protections for self-custody. 

The latest text also introduces new measures to strengthen enforcement against crypto-related crime. The additions include increased funding for investigations, expanded training for law enforcement agencies, and the creation of a cyber center focused on addressing threats linked to nation-state actors.

Source: Eleanor Terrett