TREE NEWS update: Republicans released the final CLARITY Act text a day before a cloture vote, dropping the Jan. 20, 2029 ethics sunset and reversing the July text’s bar on state attorney general enforcement. Civil penalties rise from 10% of the take or $500,000, whichever is less, to 20% or $500,000, whichever is greater. Bans on issuing and sponsoring digital assets also reach further.
Republicans Post Final CLARITY Act Text Ahead of Cloture Vote
The removal of the ethics sunset and the reversal on state attorney general enforcement signal that negotiators prioritized durability and state-level oversight over the earlier compromise language. Raising civil penalties and extending issuance and sponsorship bans shifts the bill's center of gravity toward stricter compliance, which matters most for issuers and sponsors of digital assets. Whether the cloture vote holds and whether these late changes survive conference with the House remains the open question.
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