U.S. Senate Intensifies Discussions on the CLARITY Act: Seeks to Clarify That Non-Custodial Software Developers Will Not Be Held Liable for Third-Party Use of Their Code

Odaily reports, with just over two weeks left before the U.S. Congress recesses on July 4th, senators are intensifying behind-the-scenes negotiations to push the CLARITY Act into a full Senate vote as soon as possible after the recess. Sources indicate that bipartisan senators will meet this week to discuss disputed clauses and related controversies. A key point is clarifying that non-custodial software developers “should not be held legally responsible for third-party use of their code unless they knowingly participate in illegal activities.” Previously, law enforcement agencies expressed concerns that this clause could weaken the ability to hold on-chain illegal activities accountable.

Industry insiders point out that with the legislative window narrowing, the CLARITY Act is entering a critical phase. If it cannot advance by August, the process may be further delayed due to the election cycle. (Cryptoinamerica)