Senate Democrats Push for Stronger Ethics Rules in Revised Crypto Market Structure Bill

A group of U.S. Senate Democrats said the latest draft of the Digital Asset Market Clarity Act (CLARITY Act) still requires significant revisions, arguing that key provisions on ethics, consumer protection, market integrity, and anti-money laundering measures remain inadequate.

In a joint statement shared with CoinDesk on Wednesday, Senators Angela Alsobrooks, Cory Booker, Catherine Cortez Masto, Ruben Gallego, John Hickenlooper, Mark Warner, and Raphael Warnock said they remain committed to negotiating with Republican lawmakers but believe the current version of the crypto market structure bill does not go far enough.

“The Republican-proposed text of the CLARITY Act as it currently stands falls short,” the senators said, adding that stronger safeguards are needed to address ethics for elected officials, illicit finance, conflicts of interest, consumer protections, and overall market integrity.

Alsobrooks and Gallego were the only Democrats to support the CLARITY Act during committee consideration, while several others signing the statement have previously expressed openness to advancing cryptocurrency legislation.

Earlier on Wednesday, Senate Republicans released an updated version of the bill, including an ethics provision that reportedly received support from the White House and President Donald Trump. Senator Bernie Moreno, one of the bill’s lead Republican sponsors, described the language on X as “the most powerful ethics language in U.S. history,” dismissing Democratic criticism of the proposal.

Ethics requirements have remained a central point of debate since lawmakers first worked on the stablecoin-focused GENIUS Act. The issue gained renewed attention after President Trump’s latest financial disclosure reported more than $1.4 billion in earnings from crypto-related ventures during 2025.

Despite the disagreements, bipartisan negotiations continue as lawmakers seek to finalize the legislation before the Senate begins its summer recess after August 7. Senate Majority Leader John Thune’s office said the chamber still intends to bring the CLARITY Act to the floor in the coming days. Because the bill requires 60 votes to advance, Republican leaders will likely need support from at least 10 Democrats to move the landmark cryptocurrency regulation forward.