# The Clarity Act

**Published by:** [AVC](https://avc.xyz/)
**Published on:** 2026-07-23
**URL:** https://avc.xyz/the-clarity-act

## Content

Yesterday, the Republican leaders in the Senate brought a bill to the Senate floor called the Digital Asset Market Clarity Act, otherwise known as the Clarity Act. This is the culmination of many years of work by the crypto industry and elected officials on both sides of the aisle to create laws in the US to govern the structure of crypto markets in the US. My partners at USV and I have been investing in the crypto industry for fifteen years without the benefit of clearly written rules on what is allowed and what is not. I have been sued, dragged into the basement of the SEC and interrogated, threatened, and more. And many of the founders in crypto that we have backed have experienced worse. It is extremely challenging to build new technologies, markets, and businesses without a clear set of rules. I have been asking for "market structure legislation" here at AVC and in the halls of Congress for over a decade and have met with countless regulators and elected officials lobbying for sensible rules in place of capricious regulators. And now here we are at the "one yard line" as Treasury Secretary Bessent called it yesterday. The current version of the Clarity Act is far from a perfect bill. I could tell you a dozen things that are wrong with it. And yet I support this legislation with everything I've got because I believe we need rules and we need them badly. Here are some of the important things we get from this bill beyond regulatory clarity: meaningful consumer protections stronger tools for law enforcement clear definitions of what is a security, what is a commodity, what is decentralization, what is a protocol, and more a federal framework vs a hodgepodge of state regulations that is impossible to navigate This is our moment. We must get this across the goal line and we need to do it in the two weeks between now and the August recess. We have a bill that all three arms of the federal legislating system support. We have a bill that most of the crypto sector supports. We have bipartisan support. This can get done and it can get done now. I urge everyone to support this and encourage their Senators and Representatives to support it. Nothing is perfect. But perfect is the enemy of good. And this is good.

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