Amendment to the CLARITY Act applying securities laws prohibiting insider trading has been passed.

Golden Finance reports that on May 15th, Senator Cynthia Lummis proposed an amendment during the Senate Banking Committee review of the CLARITY Act, requiring the existing securities law that prohibits insider trading to be applied to crypto assets, especially “ancillary assets.”
Note: “Ancillary assets” refer to a category of crypto assets related to securities but not fully classified as securities, as defined in the bill.
Senator Warren opposed the amendment, stating that it only addresses surface issues, but the bill itself creates a larger loophole — many assets with securities characteristics will not be classified as “ancillary assets” at all, and therefore are not subject to insider trading rules. Although I support cracking down on all forms of insider trading, this patch is far from enough to solve the problem, and it gives the public a false sense of security, making them think they won’t be affected by insider trading in the crypto space — in reality, they are not safe. Insiders will still find ways to exploit loopholes. Therefore, I urge my colleagues to vote against it.
The amendment was passed with 18 votes in favor and 6 votes against. The “Cryptocurrency Market Structure Act” (the CLARITY Act) is currently debating and voting on each amendment.