H.R. 3633

Digital Asset Market Clarity Act

Sponsor: J. French Hill

21 cosponsors
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Official summary

Written by the Congressional Research Service.

Digital Asset Market Clarity Act of 2025 or the CLARITY Act of 2025

This bill establishes a regulatory framework for digital commodities, defined by the bill as digital assets that rely upon a blockchain for their value.

The Commodity Futures Trading Commission must generally regulate digital commodities transactions, including digital commodity exchanges, brokers, and dealers. To qualify for trade on an exchange (1) a digital commodity’s blockchain must be mature, or on a blockchain system that has achieved decentralized control as defined by the bill; or (2) the issuer of the digital commodity must file certain reports. The bill establishes requirements for trade monitoring, recordkeeping, and the commingling of customer assets.  

The bill exempts digital commodities on mature blockchains (and digital commodities on blockchains expected to mature within certain timeframes) from Securities and Exchange Commission (SEC) registration requirements if annual sales fall under a certain amount and other requirements are met. The bill provides the SEC with jurisdiction over digital commodity activities and transactions engaged in by certain brokers and dealers on alternative trading systems and by national securities exchanges. 

Digital commodity exchanges, brokers, and dealers are subject to the Bank Secrecy Act for anti-money laundering and related purposes.

The bill also sets forth requirements for alternative trading systems, previously issued digital commodities, and provisional registration until the bill is implemented.  

For more information on this bill, see CRS Insight IN12583, Crypto Legislation: An Overview of H.R. 3633, the CLARITY Act.

Text of the bill

Expand all

I Definitions; Rulemaking; Expedited Registration

II Offers and Sales of Digital Commodities

III Registration for Intermediaries at the Securities and Exchange Commission

IV Registration for Digital Commodity Intermediaries at the Commodity Futures Trading Commission

V Innovation and Technology Improvements

VI Anti-CBDC Surveillance State Act

I Responsible securities innovation

II Protecting against illicit finance

III Responsible innovation in decentralized finance

IV Responsible banking innovation

V Responsible regulatory innovation

Sec. 507. International coordination to combat digital asset illicit finance Added Jun 1

Where this section came from

Not in the first version (Introduced in House, May 29, 2025).

  1. Jun 1, 2026 · Reported to Senate Marked up by Senate Committee on Banking, Housing, and Urban Affairs, May 14 Reported by Senate Committee on Banking, Housing, and Urban Affairs, Jun 1 Committee members' individual votes aren't in our records.
What is a markup?

A markup is a committee meeting where members go through a bill and vote on changes before sending it to the full chamber.

(a) Definition. In this section, the term Strategy means the National Strategy to Combat International Digital Asset Illicit Finance submitted under subsection (d).

(b) Interagency initiative. The Secretary of the Treasury, in coordination with the Secretary of State, the Attorney General, the Secretary of Homeland Security, and the heads of such other Federal departments and agencies as the President may designate, shall lead an interagency initiative to strengthen international cooperation to prevent the misuse of digital assets for illicit finance, sanctions evasion, terrorist financing, or other national-security threats.

(c) Objectives. The initiative established under subsection (b) shall—

(1) engage foreign counterparts, including finance ministries, central banks, and financial intelligence units, to promote anti-money-laundering, sanctions evasion, and counter-terrorist financing standards applicable to digital asset activities, consistent with United States standards and the framework established under the Strategy;

(2) encourage the adoption and enforcement of effective regulatory and supervisory frameworks for digital asset service providers to ensure transparency and prevent illicit use;

(3) identify and prioritize jurisdictions of concern that present significant risk of facilitating illicit digital asset activity and develop coordinated diplomatic, economic, and law enforcement strategies to address those risks;

(4) support technical assistance and capacity-building programs for partner jurisdictions to enhance anti-money laundering, sanctions evasion, and counter-terrorist financing supervision, enforcement, and information sharing relating to digital assets; and

(5) report annually to Congress on progress made toward the objectives described in paragraphs (1) through (4), including a list of cooperative and non-cooperative jurisdictions and any recommendations for additional actions or sanctions.

(d) National Strategy to Combat International Digital Asset Illicit Finance. Not later than 270 days after the date of enactment of this Act, the Secretary of the Treasury, in coordination with the Secretary of State, the Attorney General, and the Director of National Intelligence, shall submit to the Committee on Banking, Housing, and Urban Affairs, the Committee on Foreign Relations, and the Committee on Homeland Security and Governmental Affairs of the Senate, and the Committee on Financial Services, the Committee on Foreign Affairs, and the Committee on Homeland Security of the House of Representatives a National Strategy to Combat International Digital Asset Illicit Finance, which shall—

(1) assess global vulnerabilities with respect to the digital assets framework set out in the Strategy;

(2) set measurable goals and timelines for multilateral engagement with respect to digital assets;

(3) recommend resource and staffing requirements for Treasury attaches, financial intelligence liaisons, and other personnel necessary to implement the Strategy; and

(4) identify standards for combating money laundering, sanctions evasion, and terrorist financing with respect to digital asset activities applicable to foreign jurisdictions, which shall be informed by United States law, regulation, and supervisory standards, including standards relating to—

(A) anti-money laundering and countering the financing of terrorism laws and regulations that identify, prioritize, and mitigate illicit finance threats, including preventive measures for financial institutions and other entities covered by those laws and regulations, including measures relating to customer due diligence, recordkeeping, internal controls, and the reporting of suspicious transactions;

(B) money laundering offenses, asset seizure, and confiscation to recover proceeds of crime;

(C) terrorist financing and proliferation-financing offenses and related targeted financial sanctions; and

(D) regulation, supervision, and enforcement by competent authorities, including financial intelligence, law enforcement, and sanctions measures.

VI Protecting software developers and software innovation

VII Protecting customer property

VIII Customer protection

IX Other matters