- The CLARITY Act secured a second endorsement from a major law enforcement group, the Federal Law Enforcement Officers Association (FLEOA), weeks before the Senate’s August recess.
- FLEOA urged lawmakers to narrow DeFi protections, clarify accountability, and explicitly affirm that the bill does not limit existing federal investigative authority.
- The bill was previously backed by the National Organization of Black Law Enforcement Executives (NOBLE), helping counter arguments it would weaken crypto crime policing.
- Senator Cynthia Lummis warned that failing to pass the CLARITY Act could delay U.S. digital asset legislation until 2030.
The Digital Asset Market Clarity Act has received its second public endorsement from a major U.S. law enforcement organization just weeks before the Senate’s August 8 recess. The Federal Law Enforcement Officers Association (FLEOA) submitted a letter to the Senate Banking Committee endorsing the bill while recommending targeted refinements to preserve investigators’ existing powers, according to a July 10 statement.
Ji Kim, CEO of the Crypto Council, said the endorsement confirms the bill is strong on consumer protection and law enforcement, as shared on social media. The endorsement came nine days after the bill was backed by the National Organization of Black Law Enforcement Executives (NOBLE), with both letters helping counter arguments that the CLARITY Act would weaken the government’s ability to police crypto crime.
The FLEOA stated the current version represents meaningful progress toward balancing technological innovation with public safety. However, the group urged lawmakers to narrow the CLARITY Act’s DeFi protections and make it clearer who is accountable in decentralized finance systems.
In June, four law enforcement organizations raised concerns with the White House about Section 604 of the legislation, which seeks to protect developers from liability for illicit activity by users on decentralized platforms. The opposition prompted the White House to invite those organizations to a meeting in late June, and in July, the Major County Sheriffs of America shifted its stance on the bill to neutral.
Senator Cynthia Lummis said on July 8 that this is likely the last chance to get real legislation for digital assets on the books before 2030, warning on social media that failure to pass the CLARITY Act would ensure another country writes the rules for digital assets.
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