Clarity Act draft released with temporary ethics restriction
Senate Republicans unveiled an updated draft of the Clarity Act that includes a temporary ban preventing President Trump and other top federal officials from issuing or sponsoring digital assets. The restriction is set to expire in 2029, with enforcement delegated solely to the Department of Justice.
Senator Cynthia Lummis, a lead negotiator on the bill, expressed being "pleased" that the updated draft was ready for release. However, key Democratic lawmakers said the bill "falls short" on ethics and other issues, signaling continued disagreement over core provisions as lawmakers work toward a final version.
The bill maintains pro-crypto elements including protections for non-custodial developers. The debate over ethics provisions, enforcement mechanisms, and additional safeguards remains unresolved, with lawmakers indicating these points will be subject to further discussion before the legislation advances.
