US CLARITY Act bipartisan talks fail, GOP likely to advance bill alone

Bipartisan negotiations on the U.S. Senate Banking Committee's CLARITY Act markup have ended without an agreement, Crypto in America host Eleanor Terrett reported on X. She explained that Democrats had conditioned their support on strengthening ethics and conflict-of-interest provisions concerning the presidential family and had also raised last-minute objections to the Blockchain Regulatory Certainty Act (BRCA), which expands liability exemptions for non-custodial software developers. While meaningful progress was made on the ethics issues, disagreement over the BRCA prevented a final deal. As a result, the committee vote is expected to proceed with only Republican support. Regarding the negotiations, Senator Cynthia Lummis stated that 99% of the bill had been agreed upon. She expressed hope that the remaining 1% could be resolved after the bill passes the committee, warning that if not, lawmakers would have to take responsibility for any future FTX-like incidents.