Brand new window dressing doesn’t cover crypto bills glaring flaws

By Mark Hays, Associate Director of Crypto and Fintech Policy

Late Sunday night, Senate Republicans and the White House dropped new text for the CLARITY Act, the crypto-industry drafted bill slated for a key vote in the Senate tomorrow. Dropping brand new text 40 hours before the vote is an attempt to cover up the massive shortcomings, risks, and harms of the crypto bill and trick Senators into voting for a giveaway to the crypto industry and crypto billionaires. 

No one should be fooled by this last-minute window dressing. Senators should still filibuster and block this bad bill. 

According to the drafters of the bill, the latest text purportedly addresses some (but not remotely all) of the huge problems in the crypto bill that had logjammed its passage for months, but the weak, toothless measures do little to address the significant shortcomings in the bill. It still fails to stop Trump’s crypto corruption; it still allows traffickers, rogue actors, and sanctions evaders to launder money with crypto; it still allows crypto platforms to unfairly gouge customers; and it still allows platforms to pay interest on stablecoins that will drain deposits from community banks.

Fails to prevent deposit flight from community banks