Key facts
- The Major Cities Chiefs Association (MCCA) has endorsed the CLARITY Act.
- The MCCA noted that the bill's revisions address law enforcement concerns, particularly regarding digital asset investigations.
- Democrats and prosecutors are seeking reforms to the Blockchain Regulatory Certainty Act (BRCA) provision that shields crypto software developers.
- Passage odds for the CLARITY Act are currently at 30%, with a Senate recess approaching.
- Senator Thom Tillis plans to send a bipartisan ethics agreement to the White House for President Trump's approval.
The CLARITY Act has garnered support from the Major Cities Chiefs Association (MCCA), a prominent law enforcement organization, following revisions that address their concerns about investigating financial crimes involving digital assets. The MCCA specifically noted the inclusion of state and local enforcement agencies in key sections of the bill. This endorsement comes as the bill faces significant hurdles, with Democrats and prosecutors advocating for reforms to the Blockchain Regulatory Certainty Act (BRCA). The BRCA provision currently shields crypto software developers from liability for user crimes unless intent to facilitate money laundering is proven, and protects them from being classified as money transmitters. Despite the MCCA's support, passage odds for the CLARITY Act are estimated at 30%, with opposition lingering over ethics and BRCA provisions. Senator Thom Tillis, a Republican, has indicated he will not support the bill until the ethics provision is amended. Democrats are also unlikely to back the bill without changes to the ethics provision. The Senate has limited time to pass the bill before its August 7 recess.