US law enforcement group shifts to neutral stance on CLARITY Act

The National Sheriffs’ Association has dropped its opposition to the CLARITY Act, a cryptocurrency market structure bill that is expected to face a Senate vote later this month. The group said it will now take a neutral position and let the legislative process continue. In a letter to Senate leaders, the association said Congress, the administration, and other stakeholders have already done substantial work on the legal and regulatory issues surrounding the bill. Its leaders said they believe a clear federal framework for digital assets is still needed. The association had previously warned that parts of the bill, including an exemption for crypto mixers from some registration requirements, could make it harder for law enforcement to track transactions and recover stolen funds. The CLARITY Act has already passed the House and remains under review in the Senate, where lawmakers continue to debate issues such as stablecoin rewards, tokenized equities, and possible conflicts of interest.