US Treasury Secretary Says CLARITY Bill at One-Yard Line Amid White House Pressure

The CLARITY bill, aimed at defining cryptocurrency market structure in the US, is nearing passage after White House and Democratic negotiators reached a compromise on ethics provisions and enforcement authority. The White House has been pressuring Democrats to pass the bill, citing President Donald Trump's acceptance of conflict-of-interest safeguards.

According to sources, Trump agreed to what the White House calls 'the most comprehensive and far-reaching ethics provisions in history', but details have not been disclosed. The final draft bill containing the language is also being delayed, and Democrats have not yet been briefed on specific terms of any agreement.

The enforcement structure is another key variable, with Senator Kevin Cramer suggesting that some consensus is forming around the Justice Department as the main enforcement agency. However, some in the industry see the definition of 'broker' in securities as an unresolved task, pushing back against the current definition due to its failure to reflect decentralized characteristics.

Conflict-of-interest controversy surrounding Trump has been a burden throughout the talks, with Democrats pushing for restrictions on crypto business ties for the president, vice president, and members of Congress. The bill itself passed the Senate Banking Committee by 15 to 9, but Democratic senators involved in the talks have expressed difficulty backing the final vote unless ethics provisions are sufficiently reflected.