#CryptoClarityAct

Clarity Act for Digital Assets 2025: A Step Towards Regulatory Clarity

The Clarity Act for Digital Assets, introduced on May 29, 2025, aims to regulate the cryptocurrency market in the United States by dividing jurisdiction between the Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC). The law classifies digital assets on mature decentralized blockchain networks as digital commodities under the oversight of the CFTC, while centralized assets are subject to SEC regulation as securities. Licensed stablecoins are treated as digital commodities for trading purposes with the SEC's authority against fraud.

The law provides a framework for innovation by exempting digital commodities from SEC registration if annual sales are below a certain threshold, with scaled disclosure requirements. It also supports crowdfunding for tokens with a maximum of $75 million and exempts certain DeFi activities and wallet providers from SEC regulation.

The law was approved in the House of Representatives by a majority of 294-134 on July 17, 2025, and is now awaiting consideration in the Senate by September 30, 2025. Supporters, such as French Hill, see it as enhancing innovation and competitiveness, while critics warn of weakened consumer protections and increased financial risks.

The law is an important step towards providing regulatory clarity, but it raises a debate about the balance between innovation and investor protection.