Major County Sheriffs abandon DeFi objection in CLARITY Act shift

Alongside its updated position, the sheriffs' association proposed changes. It asked Congress to give state and local law enforcement agencies a formal role in the Treasury study required under Section 309 of the CLARITY Act and in any advisory groups created under the legislation. The MCSA argued that local and state agencies investigate most cryptocurrency-related crimes and should help shape future policy recommendations. It also urged lawmakers to match a new federal regulatory framework with funding and operational resources for state and local authorities enforcing the rules.

Earlier this week, the CLARITY Act secured backing from the National Organization of Black Law Enforcement Executives. Crypto.news reported that NOBLE said the legislation would provide law enforcement with additional investigative capabilities while preserving existing criminal enforcement powers.

Political attention shifted back to the Senate's schedule after Senator Bill Hagerty outlined a revised timeline. Reports citing Hagerty indicate the Senate plans to release the final CLARITY Act text this weekend, with debate resuming after lawmakers return from the July recess. That timeline replaces earlier expectations that President Donald Trump could sign the bill by July 4. Hagerty said Senate floor action is more likely after Congress reconvenes on July 13.

Support has continued building despite the delay. Bloomberg Intelligence said the probability of the CLARITY Act passing during July has increased to around 60%, citing growing backing from law enforcement groups and the revised Senate timeline. On Polymarket, the odds of Trump signing the bill before year-end climbed back above 50% after falling earlier in the week.

Not every issue has been resolved. Senator Kirsten Gillibrand continues to argue that lawmakers should prohibit themselves and their spouses from issuing or promoting crypto assets before advancing major digital asset legislation, keeping ethics provisions among the remaining points of debate as the Senate prepares to take up the bill.