National Sheriffs' Association withdraws opposition to CLARITY Act

Sep 4, 2026

The National Sheriffs' Association has withdrawn its opposition to the Digital Asset Market Clarity Act, shifting to a neutral stance ahead of a critical Senate cloture vote scheduled for September 15, 2026. While this removes a major law enforcement hurdle, the bill still faces significant obstacles, including unresolved ethics provisions regarding Donald Trump's family crypto ventures and tight congressional calendar constraints that make passage before the November midterm elections unlikely.

National Sheriffs' Association position shift

▪National Sheriffs' Association President Sheriff Troy Wellman and Executive Director Justin Smith sent a signed letter to Senate leaders John Thune and Chuck Schumer announcing the group's neutral position
▪The National Sheriffs' Association withdrew its opposition to the Digital Asset Market Clarity Act, shifting to a neutral stance on the legislation
▪The National Sheriffs' Association cited the complexity of the Digital Asset Market Clarity Act and the number of important details under consideration as reasons for its shift to a neutral stance

Section 604 developer protections debate

▪Critics of Section 604 argue that the developer protections are too broad and could allow crypto mixers, tumblers, and decentralized finance platforms to escape anti-money-laundering rules
▪The Blockchain Association sent an eight-page letter to Senate leaders on August 3, 2026, arguing that Section 604 clearly separates asset controllers from developers of neutral tools
▪Section 604 of the CLARITY Act protects software developers from being treated as if they control user funds solely for writing code

Law enforcement anti-money laundering concerns

▪The White House invited law enforcement organizations that opposed the crypto market structure bill to a meeting in June 2026 to discuss concerns regarding illegal finance
▪The National Sheriffs' Association sent a letter in May 2026 warning that Section 604 would give mixers, tumblers, and DeFi platforms a blanket exemption from anti-money laundering rules
▪Senator Catherine Cortez Masto voted against advancing the CLARITY Act out of the Senate Banking Committee, entering opposition letters from six law enforcement and prosecutor groups into the record

Senate vote prospects

▪A Senate procedural cloture vote on the CLARITY Act is scheduled for September 15, 2026, at 3 p.m., requiring 60 votes to pass
▪Arkansas Congressman French Hill stated he believes Senate Majority Leader John Thune may have enough votes to pass the CLARITY Act during the September 15, 2026 vote
▪With Republicans holding 53 Senate seats, the CLARITY Act requires at least seven Democratic senators to vote in favor to reach the 60-vote threshold

Presidential crypto ethics provisions

▪More than $1.4 billion in crypto-linked income was tied to President Donald Trump's family ventures in 2025, including World Liberty Financial and the Trump meme coin
▪Lawmakers are debating ethics provisions in the CLARITY Act aimed at limiting a sitting president's ability to profit from digital assets

Congressional calendar constraints

▪The House of Representatives passed its version of the CLARITY Act last summer with support from 78 Democrats
▪The House of Representatives announced it will hold its final votes before the midterm elections right after the Senate returns, making passage of the CLARITY Act before the November election unlikely