U.S. Senate Intensively Negotiates CLARITY Act: Seeks to Clarify That Non-Custodial Software Developers Are Not Liable for Third-Party Use of Their Code

Odaily Planet Daily News With just over two weeks remaining before the U.S. Congress recesses on July 4th, senators are intensifying behind-the-scenes negotiations to advance the CLARITY Act for a full Senate vote as soon as possible after the recess. Sources indicate that bipartisan senators will meet this week to discuss disputed provisions and related controversies. A key point includes clarifying that non-custodial software developers "who are not knowingly involved in illegal activities should not be held legally responsible for the third-party use of their code." Previously, law enforcement agencies expressed concerns that this provision could weaken accountability for on-chain illegal activities.

Industry insiders point out that with the legislative window narrowing, the CLARITY Act is entering a critical juncture. If progress cannot be completed before August, the process could be further delayed due to the impact of the election cycle. (Cryptoinamerica)