Crypto Clarity Act faces corruption gaps, experts warn

The Digital Asset Market Clarity Act, currently advancing in the U.S. Senate, contains critical gaps that could expose the United States to money laundering and sanctions evasion, according to experts. The bill's proposed framework for digital assets, while aiming to regulate a rapidly growing industry, overlooks key areas such as decentralized finance (DeFi) platforms, anonymizing tools like Tornado Cash, and stablecoin circumvention. Concerns also extend to jurisdictional loopholes and potential conflicts of interest, particularly given recent family financial dealings in the crypto venture space. Closing these five identified gaps is crucial for establishing a stable and secure crypto regulatory environment.