House Committees Scrutinize CLARITY Act Amendments, Raising Concerns about SEC Authority

Industry stakeholders have voiced concerns regarding new provisions within the CLARITY Act amendments, which are scheduled for review by the U.S. House Financial Services Committee and Agriculture Committee. Known as the ‘Gensler Era Provisions,’ these amendments aim to eliminate exemptions currently offered to existing tokens and empower the SEC with authority to determine on a case-by-case basis whether each token falls under security classification. Critics argue that this new framework could increase market volatility and diverge from the original legislative intentions.