Democrats Send Counterproposal After GOP’s ‘Final’ CLARITY Text

Senate Democrats working on the CLARITY Act rejected Republicans’ revised bill text and submitted a counterproposal after meeting Monday in Senate Minority Leader Chuck Schumer’s office. The action comes ahead of a procedural Senate vote on Tuesday to decide whether the bill can move toward full floor consideration.

Republicans released the revised draft on Sunday and labeled it their “last, best and final offer.” Several Democratic negotiators expressed continued concern with language on crypto ethics and oversight and prepared an alternative text they say addresses conflicts of interest and accountability mechanisms.

Mark Warner, who left the meeting, said, “The Democrats who have been working on this in good faith are sending a counterproposal.” His remarks indicate negotiators remain engaged despite the Republican characterization of the draft as final.

The Tuesday procedural vote will determine whether the Senate takes up the broader market-structure bill. If the motion to proceed fails, the measure will not advance to the floor; if it succeeds, senators would begin debate and could offer amendments.

The CLARITY Act is intended to set rules for cryptocurrency market structure, clarify regulatory authority and define market standards. Lawmakers on both sides continue to trade drafts as they try to reach language that would clear procedural hurdles in a closely divided Senate.