On Friday, the United States Senate Banking Committee published its last draft of the Clarity Law (clarity), in which it proposes an amendment to 18 United States Code § 1960 (a) stipulates that only developers or cryptocurrency suppliers that “exercise control over the currency, the funds or other value that replaces them with the currency” are treated as the companies that transmit money.
In addition, this amendment would not only protect Bitcoin developers and cryptography following a bill with this language included in their approval, but also protecting these developers retroactively.
In section 501 of the Title V section of the draft, entitled “Software and Software Innovation Developer Protection” states that “this section and the amendments made by this section will be applied to the conduct that occurs before, or after the date of promulgation of this law.”
A positive development for the cash developer Roman Storm
If this language is included in a version of the bill that is promulgated in the law, Tornado developer Cash Roman Storm, who was convicted of operating a money transmission business without a license last month, will benefit.
Storm has alluded to the notion of planning to appeal the guilt verdict, according to Eleanor Terrett reports.
If clarity becomes law and language regarding the protection of the retroactive developer is included in the draft of the draft law, the legal team of Storm should not have problems to gain at the level of appeal.
Unfortunately, if Clarity happens with the retroactive protections included, this will not help Samourai wallet developers, who accepted a guilt agreement for operating a money transmission business without a license in July.
Additional protection for non -custodial cryptographic technology developers
This most recent draft of clarity also stipulates that developers or suppliers of “non -controlling” (non -custodial) cryptographic technology will not be treated as money transmission companies under 31 United States code § 5330. This would also apply retroactively.
Non -controlling developers are defined as those who create or work in “distributed accounting services (s), which in the regular course of operations, does not have the legal right of unilateral and independent capacity to control, initiate demand or make transactions that involve digital assets to which users with rights have, without the approval, consent or address of any other party.”
The definition applies to cryptographic, software or hardware developers that helps customers facilitate self -custody and custody of digital assets.
What comes next?
The Congress returns to the session as of September 2, 2025, and the Banking Committee of the United States Senate plans to continue prioritizing clarity, after accepting the contribution on the bill of many members of the cryptographic industry.
“This legislative draft reflects the comments of hundreds of interested parties in a wide range of questions as part of the request for information (RFI) in the July discussion draft,” said a Senate bank committee spokesman to Bitcoin magazine. “President Scott, Senator Lummis and his colleagues will continue working in a bipartisan way to deliver a final product that will protect investors, promote innovation and maintain the future of digital finances anchored in the United States.”
There are no hearings on the bill currently in the calendar of the Senate Banking Committee.
