Senate Unveils New Clarity Act Text With Ethics Rules Set to Expire in 2029

Republicans have released an updated version of the Clarity Act, a major crypto market structure bill, setting up a possible full Senate vote as early as next week.

Ethics Rules Target Officials’ Crypto Dealings

The 616 page text, combining earlier Senate Agriculture and Banking Committee versions, adds ethics language barring public officials and their spouses from issuing or sponsoring digital assets, though they can still invest. The provision includes a sunset clause, expiring at noon on January 20, 2029. The ethics debate intensified after disclosures showed profits tied to Trump-linked ventures like World Liberty Financial.

Enforcement Sparks Disagreement

The Justice Department would enforce the ethics rules, a point Senator Angela Alsobrooks called insufficient, pushing for broader accountability measures.

Developer Protections Included

The bill also carries the Blockchain Regulatory Certainty Act, shielding non custodial developers from money transmitter rules. Industry groups back the move, while some law enforcement and religious leaders warn of risks.

Democratic support is needed to pass, with time running short before the August 7 recess.