Clarity Act says it supports regulation, but in practice it gives the green light to non-custodial wallets. It’s no wonder law enforcement agencies are up in arms. Lummis’s 2030 warning is, at least, something concrete—at this pace of crypto legislation, by the time it’s passed, the window will already be gone.

White House Digital Asset Advisory Committee Executive Director Patrick Witt pointed out that the Clarity Act is a "supportive regulation, supportive enforcement" bill, in response to law enforcement criticism that its anti-money laundering provisions are insufficient. Senator Cynthia Lummis stated that if it is not passed this year, it may not be reviewed until 2030. The controversy centers on anti-money laundering standards and related provisions in the Senate BRCA, which aims to clarify that non-custodial developers are not considered money transmitters. Some law enforcement agencies and lawmakers are concerned that parts of the Clarity Act and BRCA may weaken the ability to trace illegal financial activities and recover victims' funds.