Overview
- Senate Republicans unveiled the 635‑page revised CLARITY Act on Monday, folding in about 126 changes requested by Democrats and setting a cloture vote for Tuesday that requires 60 votes to open debate.
- The bill makes permanent ethics rules that force covered federal officials and their spouses to divest crypto holdings or use blind trusts and gives state attorneys general power to bring civil enforcement actions with penalties beginning at $500,000.
- A new provision would let the Treasury secretary impose an 18‑month circuit breaker to restrict stablecoin rewards if payment stablecoins cause large deposit outflows from community banks.
- The draft clarifies SEC and CFTC jurisdiction, preserves civil safe harbors for many developers and miners, and removes earlier criminal‑statute protections for some actors, drawing criticism from developer advocates.
- Major banking associations and a bipartisan coalition of 17 state attorneys general have urged rejection or changes over deposit flight and state enforcement concerns, while markets and analysts have raised the bill’s odds but say passage remains uncertain.