U.S. Senate Intensifies Negotiations on CLARITY Act; Seeks to Clarify Non-Custodial Developer Liability Before July Recess

According to Cryptoinamerica, U.S. senators are intensifying negotiations this week to advance the CLARITY Act toward a full Senate vote before the July 4 recess. A key point of contention is language clarifying that non-custodial software developers should not face legal liability for third-party use of their code if they had no knowledge of illegal activity. Law enforcement agencies have expressed concern that this provision may weaken enforcement against on-chain violations. Industry observers note the legislative window is narrowing; failure to progress by August could delay the measure further due to the election cycle.
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