The Blockchain Association, one of the industry’s biggest advocacy groups, urged Senate leadership to move forward on the long-awaited CLARITY Act in a letter sent Tuesday to Senate Majority Leader John Thune and Senate Democratic Leader Chuck Schumer, signed by 160 former national security, intelligence, and law enforcement professionals.
The signatories contend that without a clear federal framework, crypto-related activity could continue to move offshore into markets they describe as opaque—making it harder for US investigators to reach, monitor, and pursue financial crime.
Key CLARITY Act Provisions
The Blockchain Association’s letter emphasizes that the CLARITY Act would expand law enforcement and financial crime prevention capabilities across the digital asset ecosystem.
It highlights several enforcement-focused measures aimed at improving detection, coordination, and accountability. Among the key provisions described are strengthened anti-illicit finance obligations, including expanded Bank Secrecy Act (BSA) and sanctions requirements.
The letter also mentions information sharing led by the Treasury with the Department of Justice (DOJ), the Federal Bureau of Investigation (FBI), the Drug Enforcement Agency (DEA), and the private sector.
The group further argues that the bill would bolster safeguards for digital asset kiosks, citing requirements meant to improve oversight. Those include transaction monitoring and reporting duties, transaction limits, anti-fraud provisions, and dedicated law enforcement points of contact.
The Blockchain Association says these tools are particularly important for seniors and other Americans who are frequently targeted by scams, and it frames the measures as enforcement enhancements rather than reductions in regulation.
“These are not deregulatory measures,” the letter says, describing the proposal instead as a way to improve visibility, coordination, compliance, and accountability across digital asset markets.
The Road Ahead
To reinforce that message, the Blockchain Association is also set to host a virtual town hall on Thursday focused on how the legislation supports law enforcement and national security.
The event is expected to include participation from Senator Cynthia Lummis, Majority Whip Tom Emmer, and Patrick Witt, the White House Executive Director of the President’s Council of Advisors for Digital Assets.
Amid the group’s call, momentum for the CLARITY Act has already been built. After the Agriculture Committee markup successfully approved its portion of the bill back in January, the bill’s Agriculture Committee portion also advanced. With those steps completed, a full Senate vote is expected this summer.
Even if the CLARITY Act clears the Senate, the legislation would still face a second major hurdle: approval by the House. The House has previously acted on a version of the bill, passing a different draft last fall.
As a result, the final Senate text may need additional reconciliation with the House’s earlier version before it can move forward.
Featured image created with OpenArt; chart from TradingView.com
