After months of intense negotiations involving both political parties, as well as representatives from the crypto industry and traditional banking sectors, the long-awaited week for the crypto market structure bill, known as the CLARITY Act, has arrived.
Eleanor Terret, crypto journalist reported On Monday, ongoing disputes within the industry, partisan disagreements over crucial details and pressure from traditional banking interests repeatedly delayed the schedule.
The text of the CLARITY law is ready for publication
On Friday, Banking Committee leadership indicated that the most recent bipartisan version of the bill would be formally approved on Thursday, January 15.
The new CLARITY Act text will use the existing framework of the Digital Asset Market Clarity Act, which passed the House in July. This means that the name “CLARITY Act” will remain, but the legislation will primarily reflect the Senate’s recent collaborative efforts.
As the week progresses, the text submitted to the vote of the banking committee, which has undergone the latest modifications, should be distributed to senators on Monday or Tuesday for further examination. amendments.
According to the Terret report, there are three major aspects that stakeholders will closely observe when the text of the bill is published. First, there is considerable interest in the ethics rules that will apply to public officials involved in the crypto space, including the president.
Second, the ongoing debate regarding stable rewards remains in focus. Finally, how Democrats and Republicans approach decentralized finance (DeFi), particularly in relation to securities trading and concerns over illicit financing, is also among the key provisions to be adopted.
Crypto Legislation Discussions
Amanda Tuminelli, executive director of the DeFi Education Fund, attended recent closed-door meetings involving leaders from the crypto and securities industries, highlighting the importance of regulatory balance in a digital asset bill.
“Banks and trade associations like SIFMA are very concerned about regulatory arbitrage, particularly as it relates to decentralized exchanges trading tokenized securities,” she noted.
Tuminelli will also keep a close eye on the potential inclusion of provisions related to self-custody, protections for software developers and Blockchain Regulatory Certainty Act (BRCA), which she considers essential to the success of the bill.
ConsenSys General Counsel Bill Hughes also expressed optimism about the developments leading to the markup, indicating a hopeful outlook ahead of the deliberations.
Reports suggest that Thursday could see simultaneous increases from the Senate Banking and Agriculture committees. However, disputes over key provisions could threaten the bipartisan nature of the bill, potentially leading to a delay.
Negotiations between Senate President John Boozman and Sen. Cory Booker apparently continued over the weekend and could play a crucial role in determining the outcome of the markup, Terret claimed.
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