The National Fraternal Order of Police has reversed course and now backs the latest CLARITY Act, saying revised provisions protect its ability to investigate crypto crime. The endorsement clears one law-enforcement objection to the digital asset market structure bill, yet Senate delays have pushed its 2026 passage odds down to 33%.
The largest US police union has dropped its opposition to the CLARITY Act. The National Fraternal Order of Police, which represents more than 382,000 members, endorsed the latest version of the digital asset market structure bill after lawmakers addressed its concerns about cryptocurrency investigations.
In a July 24 letter to Senate Banking Committee Chairman Tim Scott and ranking member Elizabeth Warren, FOP National President Patrick Yoes backed H.R. 3633, the Digital Asset Market Clarity Act. Yoes wrote that revised Section 10604 does not restrict law enforcement or prosecutors from addressing illegal conduct involving cryptocurrencies.
That section amends the Blockchain Regulatory Certainty Act, the part of the bill the union had earlier resisted. According to former Fox Business reporter Eleanor Terrett, however, the BRCA provisions remained unchanged in the latest bill released Wednesday, leaving it unclear which changes the FOP was pointing to.
What the union says the bill protects
Explaining the reversal, the FOP cited sections it says would help federal, state and local agencies pursue financial crimes involving digital assets. According to the letter, the measure would extend anti-money laundering and sanctions rules and create safeguards against fraud at digital asset kiosks.
The bill would also shield digital asset firms and stablecoin issuers from liability when they voluntarily delay suspicious transactions or respond to a law enforcement request. Under Title IX, it would establish a grant program for state and local digital asset enforcement alongside a training program and a cyber innovation center.
Industry backs the bill as the Senate clock runs down
The police union is not the only backer. This week, the Crypto Council for Innovation, the Blockchain Association and the Digital Chamber urged Senate leaders to support the latest draft. The associations said the bill would build a federal consumer-protection framework for digital assets, noting that nearly 67 million Americans, about one in four, already own crypto.
Even so, the timetable is tight. Senate Majority Leader John Thune does not expect the chamber to approve the bill before the August recess, and Polymarket traders have lowered its 2026 passage odds to 33%. Senator Dave McCormick has pressed Congress to advance the bill to a floor vote, calling for action during an appearance on Fox News.
According to Wintermute policy head Ron Hammond, the bill still has enough bipartisan backing to pass but has become trapped in election-year disputes. The police union's support settles one law-enforcement dispute without removing the politics stalling a Senate vote.
Sources: crypto.news, Bitcoin Magazine, Crypto Briefing (snippet-based)
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