Senate Democrats are launching a bold new effort to overhaul the ethics rules in the CLARITY Act after rejecting the White House backed version from GOP senators according to Politico 🖤.
Senate Clash Over Crypto Ethics 🕸️
Senator Ruben Gallego slammed the latest draft calling the Republican counteroffer not a serious effort even after months of bipartisan talks 🔮. The main fight centers on stopping President Donald Trump from gaining financially from digital assets. Democrats refuse to back ethics rules enforced only by the Department of Justice and want state attorneys general to hold enforcement power too 🌙.
Gallego noted in a Thursday interview he can not picture that as a real attempt after all the work with Republican colleagues where they took months of effort and turned it into something not even close 💀.
He is now teaming up with Senator Thom Tillis and other Republicans on a fresh counterproposal insisting the fight continues. Lummis supported the original draft while Tillis called the White House version good yet admitted tweaks might be needed for 60 votes. Another round of White House talks is set to check if changes suit the president.
This stalemate has thrown the bill timeline into question as Senate Majority Leader John Thune no longer expects passage before the August recess. Prediction market odds for the CLARITY Act have dropped to 31 amid the ethics deadlock 🦇. Hopes for regulatory clarity were fueling bullish crypto vibes this year but delays are shifting momentum.
Finding a Crypto Compromise 🌹
Coinbase CEO Brian Armstrong warned that parts of the business could shift overseas without clear US crypto rules 🕷️. He wants to keep operations local yet stressed clarity is key to avoid capital and users moving offshore.
Crypto commentator Crypto Sensei suggested a middle path to break the deadlock by keeping the DOJ as lead enforcer with set investigation deadlines plus an independent ethics body and limited state attorney general intervention if the DOJ stalls.
Keep DOJ primary with statutory deadlines create independent ethics review and allow state AGs only if DOJ fails plus annual transparency reports on complaints
— Crypto Sensei (@Crypt0Senseii) July 23, 2026
This approach adds yearly disclosures on ethics complaints and actions for full transparency in DeFi spaces.
Just another echo from the void by iconofsin.eth 💖
