The Senate’s latest draft of the Digital Asset Market Clarity Act has emerged as the Senate prepares its final push to pass landmark crypto market structure legislation, though negotiations continue over ethics provisions needed to secure bipartisan support.
The 616-page draft, released by Senator Cynthia Lummis on Wednesday, includes a White House-backed ethics framework that would prohibit certain senior federal officials, including the president, from issuing or sponsoring digital assets during their term of service.
Confirmed details from the source coverage
Under the draft, the attorney general could bring civil actions against government officials or digital asset intermediaries that knowingly violate the provisions, while state attorneys general and private individuals would be prohibited from initiating enforcement actions.
A revised version of the CLARITY Act has introduced new ethics rules that would prohibit Presidents, Vice Presidents, and other senior public officials, along with their spouses, from issuing or sponsoring digital assets for compensation while in office.
The proposal is part of a broader rewrite of the legislation that also expands the Commodity Futures Trading Commission’s [CFTC] oversight of digital commodity markets.
Under the proposal, covered individuals would be prohibited from issuing or sponsoring a digital asset in exchange for compensation during their term of office.
Context that stayed inside the record
If a digital asset is found to have been issued or sponsored in violation of those provisions, it could not be listed for trading on a digital asset intermediary under the proposal.
Proposal comes as Trump’s crypto ventures draw scrutiny Although the revised CLARITY Act does not mention President Donald Trump or any specific crypto project, the timing is likely to attract attention.
Trump and his family have expanded their involvement in digital assets over the past year through ventures including the TRUMP memecoin and other crypto-related businesses.
Final Summary The updated CLARITY Act would prohibit public officials and their spouses from issuing or sponsoring digital assets for compensation while in office.
Sources: cryptobriefing.com.
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