The CLARITY Act Will Define SEC-CFTC Oversight, Tighten Ethics Rules, Strengthen Investor Safeguards If Approved
US President Donald Trump has agreed to the ethics provisions in the CLARITY Act, removing the biggest obstacle before the important crypto bill reaches the Senate. The decision has increased hopes that lawmakers will vote on the bill before the August recess. If approved, the legislation will create the first clear federal framework for digital assets in the United States.
The agreement came after several weeks of talks between the White House, Senator Cynthia Lummis, Senator Bernie Moreno, and other lawmakers.
Reports say the updated bill has already been shared with some Senate Republicans, while Democrats will review the revised text soon. Lawmakers are still waiting for the complete public version of the proposal.
Trump Clears Final Hurdle for Senate Vote
The new ethics rules prohibit presidents, vice presidents, members of Congress, and other senior federal officials from profiting from digital assets while in office. These rules became the final issue delaying the bill.
Trump’s approval has now cleared the way for the Senate to begin the next stage of the process.
The CLARITY Act also brings clear rules for the crypto industry. It explains which digital assets fall under the Securities and Exchange Commission and which come under the Commodity Futures Trading Commission.
The bill also creates better rules for crypto exchanges, custodians, and other companies while adding stronger protections for investors.
Crypto Industry Backs the Updated Bill
Several crypto leaders welcomed the latest progress. Blockchain Association CEO Summer Mersinger said the Senate could vote on the bill as early as this week. Ripple Chief Legal Officer Stuart Alderoty urged lawmakers to support the legislation, saying clear rules would reduce legal gaps in the industry.
Coinbase Vice Chair Ryan VanGrack added that the bill would improve consumer protection, close important regulatory loopholes, and introduce insider trading safeguards.
Senate Decision Still Pending
The bill still needs Senate approval before the August recess. After that, it must return to the House of Representatives for another review before reaching President Trump for final approval. Market confidence has already improved after the latest agreement.
Prediction platform Polymarket now shows about a 44% chance that the CLARITY Act will become law in 2026, reflecting growing optimism around the crypto bill.
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