Senate negotiators released a revised draft of the Digital Asset Market CLARITY Act on July 23, loading the bill with tougher conflict-of-interest restrictions that would temporarily ban presidents, vice presidents, and other senior federal officials from issuing or sponsoring digital assets for profit.
Ethics rules now dominate the debate
The rewrite shifts the conversation away from the long-running technical fight over whether crypto assets qualify as securities or commodities. Senator Cynthia Lummis framed the new ethics package as historic, saying the agreement holds "ALL federal officials, including the President" to a standard stricter than existing law, with real enforcement attached. The language is widely read as a direct response to concerns about officials shaping crypto rules while holding personal positions in the industry.
Pro-crypto Democrats are not satisfied yet. Several have flagged unresolved gaps in anti-money-laundering provisions and conflict-of-interest safeguards, signaling they are not ready to line up behind the current text.
Anthony Scaramucci, SkyBridge founder and a frequent Washington watcher, appeared on CNBC the night of July 22 and called the bill's path "extremely difficult." He had previously labeled the CLARITY Act "dead on arrival" due to partisan gridlock, though on Wednesday he suggested Democrats would ultimately back it if the bill actually reaches the floor. Reaching the floor, though, is the problem: Senate leadership is targeting a vote next week, and the math is fragile. Sixty votes are needed to advance the bill, at least one Republican has publicly said the ethics package needs more work, and prediction markets have already trimmed their odds on passage.
This article is for informational purposes only and does not constitute financial or investment advice.
