DeFi Mobilize Against Senate Amendments to CLARITY Act
Tech DeFi Mobilize Against Senate Amendments to CLARITY ActSenate amendments could expand legal risks for DeFi developers nationwide.Crypto groups warn new AML rules may tighten pressure on self-custody tools.Advocacy groups plan senator scorecards ahead of key CLARITY Act votes. Crypto advocacy organizations intensified pressure on U.S. senators ahead of the Senate Banking Committees markup of the CLARITY Act. According to Eleanor Terrett, a journalist and co-host of the Crypto In America podcast, the push followed the submission of more than 100 amendments to the legislation late Tuesday night. Several industry groups warned that multiple proposals could reshape decentralized finance rules and weaken protections for developers. The DeFi Education Fund identified a list of amendments that it believes threaten decentralized finance infrastructure. According to the group, the proposals could expand liability for software developers, tighten anti-money laundering obligations, and reduce legal protections tied to self-custody technology. Besides targeting developers, the amendments also focus on DeFi front-end operators, tokenization frameworks, and broader compliance standards for digital asset companies. Consequently, advocacy groups have started lobbying senators before Thursdays committee vote. Democratic Senators Push Tougher Oversight Several amendments originated from Democratic senators, including Catherine Cortez Masto, Andy Kim, Chris Van Hollen, Elizabeth Warren, and Jack Reed. DEF argued that several amendments