US Sheriffs’ Group Drops Opposition to CLARITY Act Ahead of Senate Vote
The National Sheriffs’ Association has adopted a neutral position on the crypto market structure bill after previously warning that some provisions could hinder investigations and asset recovery.
The National Sheriffs’ Association has withdrawn its opposition to the Digital Asset Market Clarity Act, removing a prominent law enforcement objection ahead of a scheduled procedural vote in the US Senate.
In a letter sent Thursday to Senate Majority Leader John Thune and Minority Leader Chuck Schumer, the association said it had changed its position on the CLARITY Act to “neutral.” The group pointed to the work
undertaken by Congress, the Trump administration and industry stakeholders to address the legislation’s legal, regulatory and enforcement implications.
“At this time, we believe the most appropriate course is to step back and allow the legislative process to proceed to establish a clear, effective, and much needed regulatory framework,” NSA President Troy Wellman and CEO and Executive Director Justin Smith wrote.
The change does not amount to an endorsement of the bill, nor did the association say that lawmakers had resolved all of its earlier concerns. It nevertheless represents a significant shift from the group’s previous position as the Senate prepares to consider whether to advance the legislation.
Earlier concerns focused on transaction tracing
The National Sheriffs’ Association had previously raised “significant concerns” about proposed protections for certain developers and providers of decentralized technology, including provisions affecting registration requirements for crypto-mixing services.
In a May letter to the Senate Banking Committee, the association warned that the language could impair law enforcement agencies’ ability to trace digital-asset transactions and recover funds belonging to victims. The organization reiterated its opposition in July, when Sheriff Jim Skinner said in a video that “the CLARITY Act protects the crypto industry, not the public.”
The association’s latest letter did not explain whether the disputed provisions had been revised or whether it had received commitments that its concerns would be addressed during Senate negotiations.
Senate faces Sept. 15 procedural vote
The House of Representatives passed H.R. 3633 in July 2025 by a bipartisan vote of 294–134, sending the crypto market structure proposal to the Senate. The legislation seeks to establish a federal framework for digital assets and clarify the respective roles of the Securities and Exchange Commission and Commodity Futures Trading Commission. The House Financial Services Committee confirmed the vote.
Senate committees advanced their own portions of the market structure framework in 2026. The Agriculture Committee approved its legislation in January, while the Banking Committee advanced its version by a 15–9 vote in May. The texts must still be reconciled before the full Senate can vote on final legislation.
Unresolved issues include stablecoin rewards, tokenized equities, protections for software developers and proposed ethics restrictions addressing financial conflicts involving elected officials. Some lawmakers have specifically sought measures covering President Donald Trump and his family’s digital-asset ventures.
Before the August recess, Thune filed cloture on the motion to proceed with H.R. 3633. The Senate is scheduled to hold that procedural vote on Sept. 15. Sixty votes would be required to invoke cloture, which would allow the chamber to begin considering the bill but would not itself approve the legislation. Paul Hastings’ legislative tracker confirmed the filing and scheduled vote.
Regulators prepare to act under existing authority
Trump urged Congress to pass a “fair version” of the CLARITY Act during an Aug. 19 White House meeting attended by SEC Chair Paul Atkins, CFTC Chair Michael Selig and executives from several major digital-asset companies. Reuters reported that the bill remained stalled amid ethics concerns and a limited legislative calendar.
The SEC and CFTC have also indicated that they will continue developing crypto rules under their existing authority while Congress debates the legislation. Atkins has described legislation as essential for creating durable rules, while Selig said the CFTC would use “every tool available” in the meantime. The SEC and CFTC have both publicly expressed support for congressional action.