Catholic Leaders, Law Enforcement Groups Oppose CLARITY Act Developer Protections

According to Congress.gov, Catholic leaders and law-enforcement-aligned groups recently opposed provisions in the CLARITY Act that would shield non-custodial software developers from money-transmitter regulations. The coalition, including anti-trafficking advocates, expressed concern that broad developer exemptions could weaken safeguards against crypto-enabled crime and create gaps in financial oversight, particularly for illicit finance tracking.
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