17 State AGs Push Senate To Reject Crypto CLARITY Act

NY AG Letitia James leads 17 bipartisan state AGs urging the Senate to vote against the CLARITY Act, warning it hands the SEC unchecked power over state fraud enforcement.

Crypto Regulation & US Policy News

A bipartisan group of 17 state attorneys general is calling on the Senate to block the CLARITY Act, a sweeping crypto market structure bill set for a procedural floor vote on Sept. 16. New York Attorney General Letitia James led the effort, and attorneys general from California, Illinois, Arizona, Kansas, Ohio, and Wisconsin were among those who signed the letter.

The

went to Senate Banking Committee Chair Tim Scott and ranking Democrat Elizabeth Warren on Sept. 14. It arrived one day before the Senate is due to hold a cloture vote, the procedural step that requires 60 votes to advance. Senate Republicans had released an updated version of the bill on Sept. 13 as part of a push to reach that threshold.

James and her co-signers argued the bill would make it harder for state prosecutors to pursue fraud cases and hold companies accountable. Their central objection is a provision they say would allow the

to override state-level securities registration systems. They described this as an "unprecedented grant of authority" that could dismantle existing state regulatory frameworks.