DOJ Pushes Back on CLARITY Act Critics, Calls Opposition 'Factually Inaccurate'

The Department of Justice is pushing back hard against law enforcement groups that oppose the CLARITY Act, calling their claims factually wrong.

A DOJ spokesperson responded Wednesday to four major law enforcement organizations that had asked the White House to reconsider parts of the bill, including Section 604. The groups – the National District Attorneys Association, the National Association of Assistant U.S. Attorneys, the International Association of Chiefs of Police, and the National Sheriffs' Association – sent a letter June 23 warning that the bill could create regulatory gaps criminals might exploit.

"The letter from these groups contains factual inaccuracies and mischaracterizes Administration policy," the DOJ spokesperson said, according to The Blockchain Association.

The law enforcement letter argued that "broad exemptions could create gaps in oversight and accountability that sophisticated criminal actors may exploit." It specifically flagged Section 604, saying it "risks creating gaps in oversight and accountability" and could undermine existing enforcement structures.

The groups said their concerns were not about opposing innovation. "Our concern is not with individuals who merely write or publish software code, nor with responsible technological innovation," the letter stated. Rather, they worried about protections for entities that function as intermediaries in digital asset businesses, and questioned developer protections in the Blockchain Regulatory Certainty Act.