Senator Cynthia Lummis pushed back against claims that the CLARITY Act faces major roadblocks over its developer protection provisions. Speaking at a Bitcoin conference, she said the issue is not a significant setback and confirmed she is actively working on it. The markup discussion is still targeted for May within the Senate Banking Committee.
Lummis: Protecting non-money transmitting developers without weakening law enforcement
Lummis emphasized that the bill aims to shield developers who do not transmit money, while preserving law enforcement's ability to go after bad actors. She said the provision should not hamper efforts to combat illicit finance. Her goal is to deliver clear market structure rules that position the U.S. as a leader in Bitcoin innovation.
Opposition grows: Law enforcement groups and Tillis seek refinement
Senator Thom Tillis said lawmakers must address concerns from law enforcement groups that oppose the liability shield for developers. According to Politico, these groups argue the language could weaken anti-money laundering efforts. Tillis noted that not all developers act in good faith, and the provision needs to differentiate between legitimate developers and those enabling unlawful activity. Politico reporter Jasper Goodman described the issue as a significant hurdle for the bill.
Other sticking points: Ethics provisions and stablecoin language
Beyond the developer protection clause, disagreements persist over ethics provisions and stablecoin-related language. The White House supports including the developer shield in the broader framework, but specifics remain under negotiation. Lawmakers face a tight window before the August Senate deadline. Talks continue as committees work through outstanding issues.