CLARITY Act Advances as Trump Crypto Income Draws Conflict Concerns

The CLARITY Act has gained traction in Washington after law enforcement eased its opposition. The Major County Sheriffs of America, which had initially opposed the bill, shifted to a neutral position, citing that some concerns raised earlier have been addressed.

The group's letter to Senate Banking Committee chair Tim Scott and Senator Elizabeth Warren noted that the provision related to Section 604 has received attention, which has lowered one law enforcement barrier to the bill.

Section 604 relates to the Blockchain Regulatory Certainty Act, which sought protections for non-custodial developers and decentralized platform builders. Law enforcement groups had argued that this could weaken crypto-crime investigations.

The CLARITY Act is now advancing in the Senate Banking Committee, despite opposition from banking groups who view stablecoin yield models as deposit-like products.

Meanwhile, U.S. President Donald Trump's disclosure showed over $2 billion in reported 2025 income, with roughly $1.4 billion coming from crypto ventures.

Trump rejected criticism during a CNBC interview, stating that others managed his investments and denied direct involvement in operational decisions.