The National Fraternal Order of Police, representing more than 382,000 active and retired officers, announced its support on July 24 for the latest version of the Digital Asset Market Clarity Act. The endorsement marks a shift from the group’s earlier opposition and arrives as crypto industry associations and executives intensify calls for the Senate to advance the measure.

In a letter to Senate Banking Committee Chairman Tim Scott and Ranking Member Elizabeth Warren, FOP National President Patrick Yoes stated that the organization’s prior concerns had been satisfactorily addressed. The group previously warned that language related to noncontrolling blockchain developers and decentralized technologies could restrict prosecutors pursuing financial crimes involving cryptocurrency.

Revisions Address Enforcement Tools

Lawmakers revised provisions tied to the Blockchain Regulatory Certainty Act section of the bill. The FOP said the updated text clarifies that protections for certain software developers and decentralized systems do not curtail investigations, prosecutions, or the application of existing criminal statutes, including those covering unlicensed money transmission.

The revised legislation includes measures to combat fraud involving digital asset kiosks and applies anti-money laundering and sanctions compliance obligations more broadly across the digital asset sector. It protects digital asset companies and stablecoin issuers from liability when they voluntarily delay suspicious transactions or act at the request of law enforcement, giving investigators time to prevent losses and trace assets.

Additional elements establish a grant program to strengthen state and local digital asset enforcement, create a law enforcement and national security training program, form a digital asset cyber innovation center, and include initiatives aimed at protecting older Americans from fraud. The bill also promotes better information sharing and international cooperation on illicit finance involving digital assets.

The FOP joins the National Organization of Black Law Enforcement Executives, which earlier endorsed the proposal. The Major County Sheriffs of America withdrew its opposition and moved to a neutral stance after further discussions. A separate coalition of more than 70,000 prosecutors, sheriffs, and police chiefs had previously sought changes, arguing that broad exemptions could weaken oversight.

Industry Groups Urge Floor Consideration

On the same day, the Crypto Council for Innovation, Blockchain Association, and Digital Chamber issued a joint letter calling on Senate leaders to bring the Clarity Act to the floor. The associations described the bill as necessary to establish the first comprehensive federal consumer protection framework for digital asset markets as more Americans use and invest in crypto.

The National Cryptocurrency Association also backed the revised bill, citing stronger consumer protections, clearer disclosures from platforms, fraud warnings for crypto kiosks, preservation of self-custody rights, and continued authority for the Federal Trade Commission and Consumer Financial Protection Bureau. The group pointed to its research showing more than 67 million Americans own cryptocurrency and majority support for comprehensive legislation.

Coinbase CEO Brian Armstrong and Ripple CEO Brad Garlinghouse have urged the Senate to move the bill forward. Goldman Sachs CEO David Solomon has similarly voiced support, even as some banking industry representatives raise concerns that stablecoin yield provisions could draw deposits away from traditional banks.

Political Hurdles Remain

Senator Cynthia Lummis released an updated draft of the Clarity Act on July 22 after Senate banking and agriculture lawmakers combined market-structure proposals. The measure addresses securities and commodities oversight, decentralized finance, illicit-finance controls, and federal ethics requirements for digital assets. The latest text includes a ban on officials and their families from issuing or promoting crypto.

Seven Democratic senators rejected the Republican draft, arguing it still falls short on ethics rules for elected officials, consumer protections, illicit finance safeguards, conflicts of interest, and market integrity. Senator Elizabeth Warren has criticized the bill, contending it could benefit certain political figures and criminals.

Senate Majority Leader John Thune has indicated that Republicans have not secured enough bipartisan support for a vote before the August recess. Prediction markets currently assign roughly a one-in-three chance that the legislation will become law this year. Negotiations continue, with some lawmakers suggesting further discussions involving the White House to resolve remaining ethics disputes.

The Clarity Act, which passed the House last year, seeks to create clear federal rules for digital asset markets after prolonged deadlock over stablecoin yields and regulatory jurisdiction. Supporters argue passage would provide durable consumer protections and reinforce U.S. leadership in blockchain technology, while opponents maintain unresolved gaps require additional changes before a floor vote.