Democratic lawmakers are intensifying their opposition to the Clarity Act, the sweeping crypto market structure bill making its way through Congress, as disagreements over ethics provisions tied to President Donald Trump’s crypto business interests threaten to derail the legislation in its final weeks before the August recess.
The bill, which would establish a comprehensive regulatory framework for digital assets in the United States, has been touted by Republican leadership as a landmark piece of legislation that could provide long-sought clarity for the crypto industry. However, Senate Democrats are pressing for stronger ethics language that would restrict the president and senior administration officials from profiting from digital asset ventures.
At the center of the debate is the disclosure that Trump’s crypto-related business ventures generated over $1.4 billion last year. Senator Elizabeth Warren has been leading calls to include provisions that would bar the president, his family, and senior officials from benefiting financially from legislation they help shape. “We cannot pass a crypto bill that hands a blank check to a president with a sprawling digital asset portfolio,” Warren said in a statement.
Senator Cynthia Lummis, a key Republican backer of the bill, has been working to negotiate a compromise that addresses ethics concerns without adding provisions that could sink the entire package. “We are close to a finalized text, but these final details matter,” Lummis said earlier this week.
The White House’s top crypto policy adviser, Patrick Witt, is reportedly planning to leave his position later this month for military training, adding urgency to the timeline. President Trump is expected to meet with senators to try to resolve the standoff.
If the Clarity Act does not pass before the August recess, it could face a more uncertain path later in the year, when the congressional calendar becomes crowded with fiscal negotiations and appropriations bills.
This article was adapted from Decrypt. Read the original here.
