Bipartisan Senators Propose New Ethics Compromise to Unstall the Clarity Act

According to The Block, bipartisan Senators Thom Tillis (Republican) and Ruben Gallego (Democrat) submitted a new ethical compromise proposal to the White House on Thursday morning in an effort to break the deadlock surrounding the passage of the Clarity Act’s cryptocurrency legislation. With less than a week remaining before the Senate’s August 7 recess, the bill still lacks the 60 votes needed for passage. Democrats insist on incorporating stricter ethical provisions to constrain the Trump family’s cryptocurrency interests, including their issued meme coins and their involvement in the World Liberty Financial project; meanwhile, some Republican lawmakers object to provisions on stablecoin interest rates, fearing they could divert deposits from traditional banks into crypto. Although last week’s leaked draft prohibited elected officials and their spouses from issuing digital assets, it did not extend to other family members and included a "sunset clause" expiring in January 2029—critics argue this effectively nullifies the entire ethical framework. Treasury Secretary Scott Bessent promptly blamed Democrats on X, accusing them of choosing "political gamesmanship at the edge of a major victory." The Crypto Commerce Initiative (CCI) warned that if the bill fails to pass, the United States will cede its global leadership in cryptocurrency regulation.