President Donald Trump has agreed to stronger ethics rules as Senate Republicans try to advance the clarity act, a major cryptocurrency bill. The concession is aimed at winning support from Democrats who have raised concerns about potential conflicts of interest involving Trump and his family’s crypto businesses.
Trump Agrees to Tougher Ethics Provisions
The legislation, known as the Clarity Act, is designed to establish a broader regulatory framework for digital assets in the United States. However, Democrats have argued that the earlier version did not go far enough to address concerns about elected officials benefiting from cryptocurrency ventures.
Under the revised proposal, state attorneys general would have a role in enforcing the ethics provisions in addition to the Justice Department. The changes would give states the ability to take legal action against certain crypto exchanges that violate the restrictions.
Republican senators said Trump agreed to roughly 80% of the proposal developed by Republican Sen. Thom Tillis and Democratic Sen. Ruben Gallego. The updated legislation also includes a requirement that officials with significant financial interests in crypto-related entities either divest those holdings or place them in a blind trust.
Crypto Interests Draw Scrutiny
Trump’s personal involvement in the cryptocurrency industry has been a major issue during the debate over the legislation. His family has been involved in several crypto ventures, while Trump has reported significant income connected to digital assets.
Democrats have argued that lawmakers need stronger safeguards to prevent public officials from using their positions to benefit financially from the crypto industry. The ethics debate became one of the biggest obstacles to securing bipartisan support for the bill.
The revised legislation reportedly incorporates 126 substantive changes requested by Democrats. Republican senators have described the updated bill as a bipartisan effort and urged lawmakers to move forward after more than a year of negotiations.
Senate Vote Could Decide the Bill’s Future
The Senate is expected to hold a key procedural vote on the Clarity Act on Tuesday, September 15. The measure needs 60 votes to advance, meaning Republicans will need support from at least some Democrats or independents.
The ethics concessions could improve the bill’s chances, but some Democrats remain skeptical about whether the changes go far enough. The legislation also faces disagreements over stablecoins and their potential impact on traditional banks.
With Congress facing a limited legislative window before the 2026 midterm elections, the upcoming Senate vote could determine whether the cryptocurrency bill moves closer to becoming law.
Source : washingtonpost.com