Cynthia Lummis criticizes Democrats for blocking Crypto Clarity Act

Senate Republican Cynthia Lummis said Tuesday that Democrats “chose visceral hatred for” former president Donald Trump instead of supporting the bipartisan Crypto Clarity Act, a bill that would give the Treasury clearer authority to regulate digital assets. Lummis made the comment on the Senate floor during a debate on the measure, which is scheduled for a vote later this week. She added that the party’s opposition is driven by politics, not policy, and that the delay hurts investors and innovators.

The Crypto Clarity Act was introduced in early 2023 after the Treasury’s Office of Foreign Assets Control issued a sweeping rule that treats many crypto transactions as money‑service businesses. The rule sparked lawsuits and market turmoil, prompting lawmakers to seek a more precise statutory framework. Democrats have argued that the bill does not go far enough to curb fraud and illicit use, while Republicans claim it merely clarifies existing authority. The clash comes as Congress wrestles with a broader push to regulate the rapidly expanding crypto sector, a move that could shape the industry’s future in the United States.

Lummis’s remarks were met with a sharp rebuke from Senate Democratic leader Chuck Schumer, who called the accusation “a baseless political stunt.” House Financial Services Committee chair Patrick McHenry, a co‑sponsor of the bill, said the legislation enjoys bipartisan support and urged a swift vote. If passed, the act would amend the Bank Secrecy Act to require the Treasury to issue clear guidance on crypto reporting and licensing, reducing legal uncertainty for exchanges and custodians. The Senate is expected to bring the measure to the floor before the end of the month, and its fate will signal how quickly Washington can move from ad‑hoc rules to a stable regulatory regime for digital assets.