Senate Republicans released an updated CLARITY Act on July 22, 2026, adding ethics rules that bar federal officials — including the president — from issuing or profiting from digital assets until 2029. Senator Cynthia Lummis, who led the bill, framed the language as a compromise with President Trump, whose crypto income has drawn pushback from lawmakers. The measure now moves toward a full Senate floor vote.
Senate Republicans released an updated draft of the Digital Asset Market Clarity Act on July 22, 2026, attaching ethics rules that bar federal officials from issuing or profiting from digital assets. The restrictions reach the president, vice president and members of Congress, and they carry a sunset clause set to expire on January 20, 2029.
A ban aimed at the president
Senator Cynthia Lummis, who spearheaded the bill, said the ethics language came out of a compromise with President Trump. The 616-page text, made public on Wednesday, includes what the White House called its most far-reaching ethics provision yet.
The measure also covers officials' spouses and blocks crypto platforms from listing tokens issued or sponsored by federal officials. Lummis said the rules would apply to Trump, who earned more than $1.4 billion in 2025 from his crypto ventures.
A fight over who enforces it
Enforcement would fall to the US Attorney General rather than state authorities. That choice drew an objection from Senator Angela Alsobrooks, who told Politico she opposed the language: "I wouldn't support the bill if that's the language".
What still stands between it and law
Beyond ethics, the updated act puts digital commodities under the Commodity Futures Trading Commission and securities under the SEC, a split meant to clarify which regulator oversees each token. Senate Majority Leader John Thune reportedly plans to bring the bill to a floor vote next week.
That vote is not the last hurdle. The Senate Banking Committee already cleared the bill in a 15-9 vote in May. It still needs 60 votes on the Senate floor before returning to the House and, potentially, Trump's desk.
Whether enough Democrats sign on remains unsettled, with several refusing to back any bill without strong ethics language.
Sources: Crypto Briefing, Cointelegraph
Trading involves risk.
Risk Disclaimer
