White House crypto advisers support ClarityAct, saying it benefits regulation and law enforcement

The ClarityAct, a U.S. Crypto Market Structure Act, is a bill that "supports supervision and law enforcement", refuting criticism from some law enforcement agencies that it is insufficient to prevent financial crimes. As the midterm elections approach, the window for Congress to pass the bill is narrowing. Senator Cynthia Lummis warned that if it fails to move forward this year, the bill may not be seriously reviewed again until after 2030. Currently, ClarityAct still faces multiple disputes, including stablecoin income arrangements, conflicts of interest issues caused by Trump-related crypto businesses, and whether anti-money laundering standards are strict enough. The latest version also includes the Blockchain RegulatoryCertain Act (BRCA), promoted by DeFi supporters, which aims to make it clear that unmanaged developers should not be considered money transmitters. However, some law enforcement groups and lawmakers are concerned that the BRCA and some provisions of the bill may weaken the ability to track illicit funds and recover victim assets. Witt said lawmakers had responded to concerns before the Senate Banking Committee vote and added provisions to strengthen the regulatory and enforcement foundation.