Democratic Senators Chris Murphy, Jeff Merkley, and Chris Van Hollen have sharply criticized the current version of the CLARITY Act. Their main demand is to include provisions in the document that prohibit the U.S. President, members of Congress, high-ranking officials, and their immediate family members from profiting from the cryptocurrency business. This is a direct blow to the interests of Donald Trump's family, whose crypto assets are raising increasing questions.
At a press conference on July 14, organized jointly with the coalition Americans for Financial Reform, the Indivisible movement, and renowned actor and crypto analyst Ben McKenzie, the senators stated that the bill in its current form merely creates an illusion of regulation without addressing fundamental conflicts of interest. "There is no point in creating a new regulatory system for cryptocurrencies if it does not stop Trump's corruption in this industry," Murphy emphasized, pointing to the direct link between the presidency and his personal financial interests in digital assets.
Merkley proposed incorporating provisions from the MEME Act or the End Crypto Corruption Act into the CLARITY Act—laws that directly prohibit high-ranking officials from owning, promoting, or deriving income from crypto businesses. "It is not enough to prepare an amendment or a separate anti-corruption law. It must actually be stopped," he stated, making it clear that the current version of the document is a fig leaf.
Van Hollen, who previously proposed similar restrictions during the CLARITY Act's consideration in the Senate Banking Committee, also noted that his amendments were rejected or deemed procedurally non-compliant. He insisted on strengthening measures against money laundering, sanctions evasion, and insider trading, but all these provisions were left out. "If you are drafting a law on digital assets, it must protect consumers, limit illegal operations, and eliminate conflicts of interest. The CLARITY Act does not address these tasks," the senator concluded.
As a reminder, the CLARITY Act itself is designed to create a federal regulatory framework for the digital asset market, delineating the powers of the SEC and CFTC. However, as events show, without an anti-corruption block, this bill risks becoming a tool for legitimizing personal financial schemes rather than protecting the market. Consideration of the document is expected next week, and its passage will require 60 votes. However, judging by the Democrats' stance, without accommodating their demands, the CLARITY Act may face serious opposition.
Expert Commentary: The situation surrounding the CLARITY Act is a classic example of how political will clashes with economic interests. If Congress cannot separate cryptocurrency regulation from the personal finances of high-ranking officials, trust in any new system will be undermined. This is not just a technical dispute over the jurisdiction of the SEC and CFTC—it is a fundamental question of who will govern the U.S. cryptocurrency market and in whose interests.