Bloomberg Says Trump Family Crypto Business Is Biggest Obstacle to Clarity Act

The Clarity Act, a bill that has become a top focus for the crypto industry, is running into headwinds because of the Trump family's digital-asset business, Bloomberg reported on July 25.

Democrats are pushing for stronger ethics rules to prevent President Donald Trump and his family from continuing to profit from digital-asset ventures, Bloomberg said. The ethics provisions in the Republican revision of the Clarity Act released this week have drawn criticism for falling short of that demand.

The bill needs at least 60 votes to pass the U.S. Senate. Republicans hold 52 seats, meaning they need support from at least eight Democrats. Senator Angela Alsobrooks said the ethics provisions are the most critical issue in the debate over the Clarity Act.

Democrats have also pushed back on language that would give the Justice Department sole authority to enforce penalties for ethics violations while restricting the independent oversight powers of state attorneys general.

Beyond ethics rules, major sticking points include consumer protection, anti-illicit-finance measures and regulation of stablecoin rewards. Banks are calling for tighter restrictions on such payments, arguing that deposits could move from bank accounts into stablecoin accounts.

The market is also assigning lower odds to the bill's passage. Bloomberg said the prediction market Polymarket showed the chances of the Clarity Act passing this year falling to about 33% after Republicans released their revised proposal.