The CLARITY Act would strengthen law enforcement and financial crime prevention by expanding Bank Secrecy Act obligations for digital asset brokers and exchanges, boosting anti-money laundering program requirements, and imposing sanctions compliance duties.

Proponents argue the act brings activity within U.S. oversight, improves consumer protection, enhances enforcement coordination, and strengthens accountability across digital asset markets.

supporters reject claims it would hamper prosecutors, saying it actually enhances tools, coordination, and enforcement across the digital asset ecosystem.

The Blockchain Association is coordinating a Washington, D.C. fly-in to meet 18 Senate offices and will host a virtual town hall featuring prominent figures to discuss the bill’s law enforcement and national security implications.

The lobbying push includes meetings with lawmakers and a virtual town hall aimed at explaining how the bill supports law enforcement, protects consumers, and promotes domestic innovation.

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The Senate has placed the Digital Asset Market Clarity Act on its calendar for a full floor vote after bipartisan Banking Committee approval, with supporters arguing it reduces regulatory uncertainty and curbs offshore innovation leakage.

Non-decentralized finance trading protocols would face expanded AML, suspicious activity reporting, and customer due diligence, with temporary holds on suspicious transactions and mandatory law enforcement notification during holds.

The political strategy centers on signaling floor readiness to move CLARITY Act to the full Senate while addressing enforcement advocates’ concerns to overcome opposition.

Consumer protections would include stricter kiosk oversight with monitoring, reporting obligations, anti-fraud measures, transaction limits, and direct law-enforcement contact to shield seniors and other vulnerable users from scams.

The bill would establish a Treasury-led information-sharing pilot with the DOJ, FBI, and DEA, and create a permanent interagency group to develop counter-illicit-finance measures for digital assets without changing existing authorities.

Eight core provisions would provide unprecedented oversight and enforcement powers, including expanded BSA/AML obligations for digital actors, information-sharing pilots, and expanded asset seizure authorities.