Seven Democratic senators oppose revised CLARITY Act

Seven Democratic U.S. senators have also voiced opposition to a revised version of the CLARITY Act that adds ethics rules for public officials, increasing uncertainty over whether the bill can pass before the August recess, according to BeInCrypto. Sens. Catherine Cortez Masto, Angela Alsobrooks, Cory Booker, Ruben Gallego, John Hickenlooper, Mark Warner and Raphael Warnock said the bill still needs stronger provisions on consumer protection, illicit finance prevention and market integrity, not just ethics rules. Banking industry groups also said deposit risks remain a concern and argued the revised bill could still curb regional lending. Compared with the draft released in May, the revised version newly adds ethics rules restricting public officials from issuing or endorsing cryptocurrencies, as well as law enforcement provisions allowing the seizure of stablecoins. It keeps the existing framework under which the SEC and CFTC share oversight of cryptocurrencies.