Senators Thom Tillis (@SenThomTillis) and Ruben Gallego (@SenRubenGallego) sent a fresh bipartisan ethics compromise to the White House on Thursday morning, per a source familiar with the mat
Senators Thom Tillis (@SenThomTillis) and Ruben Gallego (@SenRubenGallego) sent a fresh bipartisan ethics compromise to the White House on Thursday morning, per a source familiar with the matter speaking to The Block. The move targets the provision widely seen as the main obstacle to the Digital Asset Market Clarity Act clearing the Senate.
The ethics clause at the center of the dispute is designed to restrict senior government officials from holding direct ties to cryptocurrency projects. The provision has President Donald Trump's crypto business empire squarely in mind. Trump recently agreed to accept a narrower version of this concept, and the White House hailed it as an unprecedented ethics constraint that directly affects the president. Critics, however, argue it does not go far enough. Democratic opponents contended the language is structured in such a way that Trump would not have to do much to comply, and that enforcement worries are limited given the Justice Department is led by his appointed loyalists.
The current Trump-approved draft bars officials and their spouses from issuing digital assets but exempts other family members and sunsets in January 2029. Critics say this arrangement neuters enforcement for its entire lifespan. CoinDesk reported that people familiar with the talks said Tillis and Gallego completed an initial revision of language that would restrict senior officials' ties to crypto projects.The agreement still requires White House sign-off before it can move forward.
With only seven days remaining before the Senate's August recess, the CLARITY Act still needs 60 votes to overcome a filibuster, and that threshold remains far from locked in.Republicans hold 53 seats, and Senators Josh Hawley and Rand Paul are expected to vote no on substantive grounds, meaning the bill likely needs eight or more Democrats.
Gallego and six other Democratic negotiators said last week that the bill still needed stronger protections covering ethics, consumer protection, illicit finance, conflicts of interest, and market integrity, while pledging to continue negotiating.The Gallego-Tillis proposal could provide a test of the White House's willingness to compromise, as the ethics counteroffer is being built by senators from both parties before it reaches the administration. Whether it fares any better could help determine how much room remains for a broader CLARITY deal.
Sources section:
CoinDesk: Senators Ready to Send Stricter Ethics Rules on Trump's Crypto Ventures to White HouseCoinGape: Senator Tillis Pushes to Send CLARITY Act Ethics Package to White House by FridayCryptoSlate: 11th-Hour CLARITY Proposal Ripped Apart by Both Sides of Washington
