The full CLARITY Act text is now public. Crypto commentator BankXRP (@BankXRP) shared the document, calling it the most comprehensive crypto market structure bill Congress has ever written. It contains clear federal rules, real protections for U.S. holders, and the strongest anti-crime tools yet.
The Regulatory Split
The CLARITY Act divides the regulatory landscape between the SEC and the CFTC based on a token’s level of decentralization. Tokens tied to centralized teams remain under SEC jurisdiction as investment contract assets. Tokens on sufficiently decentralized networks move to CFTC oversight as digital commodities.
The Full CLARITY Act text is out.
Most comprehensive crypto market structure bill Congress has ever written.✅ Clear federal rules
✅ Real protections for U.S. holders
✅ Strongest anti-crime tools yet950K contacts from the community got us here.
Pass it before the Senate… pic.twitter.com/u0oWKby0M3— 𝗕𝗮𝗻𝗸XRP (@BankXRP) July 22, 2026
Protections Written Into the Text
Exchanges cannot use customer funds as their own property. The bill states it is unlawful for any digital commodity exchange that has received customer money, assets, or property to dispose of or use those assets as belonging to the exchange.
Customer property protections are also codified directly into bankruptcy law, meaning if an exchange collapses, customer assets must be distributed accordingly. This is the legal fix that did not exist when FTX collapsed.
Federal agencies cannot prohibit or restrict a U.S. individual from self-custody of digital assets using a self-hosted wallet for any lawful purpose.
Fighting Fraud and Illicit Finance
Digital asset intermediaries must provide educational materials covering how distributed ledger systems work, common risks, differences from traditional markets, and how to recognize and report fraud. Bank Secrecy Act obligations apply across all intermediaries, alongside AML requirements, digital asset kiosk rules, and cybersecurity and sanctions compliance standards.
Covered agencies and designated private sectors can share information on potential illicit finance violations, with specific provisions targeting mixers and tumblers.
Developers Get Protection Too
Non-controlling blockchain developers cannot be treated as money transmitters solely for writing software, providing hardware for self-custody, or maintaining blockchain infrastructure. The bill extends those protections broadly to software developers. Anti-fraud and anti-manipulation authority remains fully intact throughout.
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The Ethics Fight
Additionally, the bill addresses the pending ethics concerns. It bans the president, vice president, members of Congress, federal judges, and their spouses from issuing or sponsoring digital assets for compensation while in office. Covered officials must divest crypto holdings or place them in a blind trust.
However, Democrats oppose giving enforcement authority solely to the Department of Justice, which reports directly to the president the provision is meant to restrict. They want state attorneys general to hold that power instead.
The Window Is Closing
The Senate recesses in about two weeks. The bill needs 60 votes. XRP holders and the broader crypto market are eagerly anticipating the vote. If the Senate misses this window, the bill may be delayed till 2030.
Disclaimer: This content is meant to inform and should not be considered financial advice. The views expressed in this article may include the author’s personal opinions and do not represent Times Tabloid’s opinion. Readers are advised to conduct thorough research before making any investment decisions. Any action taken by the reader is strictly at their own risk. Times Tabloid is not responsible for any financial losses.
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