Key Highlights
- The White House has begun engaging with the bipartisan Tillis-Gallego ethics proposal tied to the CLARITY Act.
- Negotiations remain unresolved, with one industry source describing the process as a “weird limbo.”
- The administration is also leading discussions on the Blockchain Regulatory Certainty Act (BRCA) to address concerns from law enforcement groups.
The White House has reportedly begun engaging with a bipartisan ethics proposal tied to the CLARITY Act, marking the latest development in negotiations over U.S. crypto market structure legislation.
In an X post on Thursday, journalist Eleanor Terrett reported that administration officials have started reviewing the Tillis-Gallego ethics counterproposal as negotiators continue working through unresolved issues that have delayed Senate consideration of the bill.
The latest discussions come days after reports that the White House had not yet responded to the proposal submitted by Senators Thom Tillis and Ruben Gallego. The proposal seeks to address ethics concerns by expanding enforcement authority while preserving the broader framework of the CLARITY Act.
White House enters ethics discussions
Terrett cited an industry source who described the current state of negotiations as a “weird limbo,” despite increased engagement from the administration. She also reported that supporters close to President Donald Trump have spent much of the week attempting to build support for an agreement.
The White House has not publicly commented on the proposal or indicated whether it supports the latest draft.
BRCA negotiations discussions continue
Terrett also reported that the White House is taking a leading role in discussions around the Blockchain Regulatory Certainty Act (BRCA) in an effort to address concerns raised by law enforcement groups.
“Negotiations continue on other outstanding issues, with the White House taking the lead on BRCA discussions in an effort to get remaining law enforcement holdouts to a better place,” she wrote.
Several law enforcement groups have previously argued that parts of the BRCA could complicate investigations involving blockchain infrastructure providers, while crypto advocates maintain the measure is necessary to provide legal certainty for developers and validators.
Senate leaders continue working toward a vote
The White House’s engagement comes as Senate leaders continue trying to move the legislation before lawmakers leave Washington. Earlier this week, Senate Majority Leader John Thune signaled that he wants the Senate to move toward a procedural vote on the CLARITY Act before recess.
The latest White House involvement follows reports that bipartisan negotiators have continued refining the Tillis-Gallego ethics proposal to secure enough support for a Senate vote.
Meanwhile, Senate Banking Committee Chairman Tim Scott has urged lawmakers to begin consideration of the legislation before recess, arguing the Senate still has time despite a crowded legislative calendar.
Negotiations continue with no final deal
Despite the White House’s involvement, negotiators have not announced a final agreement. The legislation must still clear several outstanding issues before Senate leadership can schedule a procedural vote, and any measure will likely require bipartisan support to advance.
No final agreement has been announced. The CLARITY Act must still clear several outstanding issues including ethics provisions and BRCA-related concerns before Senate leadership can move toward a procedural vote.
Also Read: Senator Warren Says Senate Should Fix CLARITY Act Before Voting
