Crypto developers are receiving backing from a new political action committee (PAC), Defend Developers, that is pushing for legal protections for them in the CLARITY Act. This comes as the crypto bill heads to the Senate floor, although there is yet to be a floor date for deliberation.
New PAC Backs Crypto Developer Protections In CLARITY Act
According to a Crypto in America report, the Defend Developers PAC launched today with a mission to specifically back American crypto developers, DeFi builders, and blockchain technologists. This represents a major boost for these developers, as legal protections for them in the crypto bill have been a key issue in negotiations between Republicans and Democrats.
Notably, law enforcement groups had criticized the Blockchain Regulatory Certainty Act (BRCA) provision in the CLARITY, arguing that it makes it harder to crack down on illicit activity. The provision protects DeFi developers by ensuring they are not liable for users’ activities on their platforms and are not classified as money transmitters.
Meanwhile, amid the launch of this PAC, the crypto industry also secured support from national security experts, who agree that the crypto bill is a law-enforcement and national security priority. 160 former national security, intelligence, and law enforcement professionals signed the letter by the Blockchain Association in support of advancing the bill.
These developments come as the CLARITY Act heads to the Senate floor after the Senate Banking Committee advanced the bill following a markup. As CoinGape reported, the crypto bill is now on the Senate legislative calendar.
The Senate will still need to merge the crypto bill with the Senate Agriculture Committee’s text before it begins to deliberate on it. Senate Majority Leader John Thune has yet to provide a date for when they could sit on the crypto bill.
Senator Lummis Responds To Jamie Dimon’s Comments
During an interview on CNBC today, pro-crypto Senator Cynthia Lummis responded to JPMorgan CEO Jamie Dimon’s comments about the CLARITY Act. “He either hasn’t read the bill, or he wants to mislead people,” she said.
The JPMorgan CEO had claimed that the crypto bill contained no AML and BSA provisions, despite banks being subject to such compliance measures. However, Senator Lummis noted that the crypto bill includes up to 16 references clarifying that the AML and BSA provisions that apply to banks also apply to the crypto industry.
She also mentioned that they are now looking to wrap the crypto bill into a single bill that addresses all issues and can be presented to the Senate floor for cloture. The senator touched on DeFi protections, noting that they are actively negotiating and signaling that they have made progress.
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