Trump approved the inclusion of ethical standards in the CLARITY Act: what this means for the crypto market
The administration of U.S. President Donald Trump has given its preliminary approval to include a package of ethical restrictions in the CLARITY Act bill. According to my data obtained from insider sources in Washington, the White House has already agreed on the relevant text and sent it to several Republican senators. This is a landmark step that could radically change the trajectory of passing one of the most important crypto-regulatory acts in recent years.
As a reminder, on July 14, Democratic Senators Chris Murphy, Jeff Merkley, and Chris Van Hollen sharply criticized the current version of the CLARITY Act, demanding the inclusion of provisions prohibiting the president, members of Congress, senior officials, and their families from directly profiting from crypto businesses. Their position was backed by data from the 2025 declaration, according to which Trump's personal projects and assets related to the crypto industry earned him at least $1.4 billion. The White House previously denied any conflict of interest, but now appears to have decided to make concessions.
The discussion of the ethical provision took place on July 16 during a meeting between Trump and key Republican senators, including Cynthia Lummis, Bernie Moreno, Thom Tillis, and Bill Hagerty. White House crypto advisor Patrick Witt and Chief of Staff Susie Wiles also participated in the negotiations. Notably, representatives of the Democratic Party were not invited to the meeting, indicating the intra-party nature of the agreement.
Meanwhile, Senator Elizabeth Warren increased pressure on the president, calling on him to voluntarily disclose income from digital assets for the period from January 1 to July 15, 2026, without waiting for the mandatory report, which will only be filed by May of next year. This move is clearly aimed at creating additional public pressure and transparency ahead of the final vote.
Let me recall the key milestones: The House of Representatives passed the CLARITY Act on July 17, 2025, by a vote of 294 to 134. In May 2026, the Senate Banking Committee supported its version of the document by a vote of 15 to 9 and sent it to the full chamber for consideration. The bill is designed to finally delineate the powers of the SEC and CFTC regarding the digital asset market, which is critically important for the institutional adoption of cryptocurrencies in the United States.
The new version with the proposed ethical standards has not yet been published, and the date for the plenary session has not been set. Negotiations must be completed before the Senate's August recess, adding to the intrigue. Additionally, in July, American banking associations called for clarifying the provisions on stablecoin yields, fearing that the current wording leaves loopholes for payments that are economically similar to interest on deposits.
My expert analysis: Trump's agreement to ethical standards is not just a political gesture but a strategic maneuver aimed at accelerating the passage of the CLARITY Act and removing a key objection from Democrats. However, the real price tag—$1.4 billion in the president's personal income from the crypto industry—makes this compromise extremely fragile. If the final wording turns out to be too lenient, the bill risks facing new obstructions in the Senate. The market is watching closely: the passage of the CLARITY Act would be a powerful catalyst for the legalization and growth of the American crypto ecosystem, but delays in the process or the dilution of ethical standards could have the opposite effect.