Senate Republicans narrow Blockchain Regulatory Certainty Act, removing criminal protections

The latest version of the Blockchain Regulatory Certainty Act just got a significant haircut. Senate Republicans released a revised draft of the Digital Asset Market Clarity Act, better known as the CLARITY Act (H.R. 3633), on September 13, incorporating 126 changes requested by Democrats. Among the most consequential: the removal of explicit criminal protections for blockchain developers, miners, and validators. The original BRCA language referenced 18 U.S.C. § 1960, the federal statute governing unlicensed money transmission, effectively shielding certain blockchain participants from criminal prosecution under that law. The new draft strips that reference entirely, leaving only civil and regulatory safe-harbor language in its place. What changed and why it matters The revised 635-page bill represents a carefully negotiated compromise. Republicans hold 53 Senate seats, but they need 60 votes to clear the cloture motion scheduled for September 15. That math requires Democratic support, and Democrats came to the table with a long list of demands. The 126 substantive changes go well beyond tweaking the BRCA. The bill now includes permanent bans on public officials holding significant...