The CLARITY Act is heading for a crucial US Senate procedural vote on Tuesday after President Donald Trump agreed to most of a bipartisan proposal to strengthen ethics restrictions around public officials’ crypto interests, according to various reports.
However, the latest compromise hasn’t resolved all of the opposition, with a bipartisan group of state attorneys general now urging senators to reject the bill over concerns that it would weaken state oversight of the crypto industry.
A coalition of 18 state attorneys general, led by New York Attorney General Letitia James, argued in a letter to Senate Banking committee leaders that the CLARITY Act would make it harder for states to take action against crypto companies accused of fraud or other misconduct.
“While the current draft of the CLARITY Act reserves certain powers for states to prosecute fraud, the language is often ambiguous, unclear, or confined in ways that either…
