US Senate Vote on CLARITY Act Draws Opposition from 17 State AGs

A bipartisan group of 17 state attorneys general, led by New York AG Letitia James, urged senators to reject the CLARITY Act, citing concerns that it could weaken their authority to pursue crypto fraud and protect investors. The bill, which is set to be voted on Tuesday, could give the SEC new authority to preempt state registration powers and create uncertainty around state securities enforcement, the attorneys general argued. Despite Senate Republicans releasing a revised version of the bill, the attorneys general said the revisions did not resolve their enforcement concerns.