The Honorable John Thune
Majority Leader
United States Senate
Washington, DC 20510
The Honorable Charles E. Schumer
Minority Leader
United States Senate
Washington, DC 20510
June 3, 2026
Dear Leader Thune and Leader Schumer:
As former national security, intelligence, and law enforcement officials, we write in support of advancing the Digital Asset Market Clarity Act (“Clarity Act”) and establishing a modern federal framework in the United States for digital asset oversight, counter-illicit finance efforts, and cybersecurity coordination.
Digital asset activity is growing rapidly and globally. It is critical for the United States that this activity occurs under American rules, with American oversight, and subject to American law enforcement – or we risk it continuing to migrate offshore into opaque markets, and beyond the reach of U.S. investigators.
A clear federal framework strengthens U.S. national security by bringing more activity into regulated channels, improving visibility for law enforcement, and giving investigators and prosecutors stronger tools to combat financial crime.
The Clarity Act expands law enforcement and financial crime prevention capabilities across the digital asset ecosystem.
Among other provisions, the legislation:
- Expands Bank Secrecy Act and sanctions compliance obligations to digital commodity brokers, dealers, and exchanges, including anti-money laundering (AML) program requirements and sanctions obligations (Sec. 201);
- Creates a Treasury-led information-sharing pilot program involving DOJ, FBI, DEA, and private sector entities focused on illicit finance threats and emerging risks (Sec. 203);
- Establishes a permanent interagency working group including Treasury, DOJ, DHS, FBI, DEA, IRS, and Secret Service to develop anti-money laundering and counter-illicit-finance proposals for digital assets (Sec. 204);
- Creates anti-fraud safeguards, transaction monitoring requirements, reporting obligations, transaction limits, and dedicated law enforcement points of contact for digital asset kiosks (Sec. 205);
- Expands AML, suspicious activity reports (SARs) reporting, customer due diligence, and compliance obligations to certain non-decentralized finance trading protocols not consistently covered under existing law today (Sec. 301);
- Clarifies sanctions compliance expectations for distributed ledger messaging systems and related interfaces through Treasury guidance (Sec. 302);
Explicitly extends Section 311 special measures authorities to digital asset activity (Sec. 303);
- Allows temporary holds on suspicious digital asset transactions, requires law enforcement notification, and reinforces compliance with lawful court orders (Sec. 305);
- Modernizes seizure and forfeiture authorities by defining digital assets as monetary instruments and expanding administrative seizure authorities in significant cases (Sec. 307);
- Establishes risk management standards designed to strengthen monitoring and illicit finance protections involving digital asset intermediaries and decentralized finance activity (Sec. 308).
These are not deregulatory measures. They are enhanced enforcement tools designed to improve visibility, coordination, compliance, and accountability across digital asset markets.
Importantly, nothing in the Clarity Act limits the ability of prosecutors or investigators to pursue fraud, money laundering, sanctions evasion, terrorism financing, trafficking, or other criminal activity involving digital assets. Existing criminal and national security authorities remain fully intact.
From a national security perspective, regulatory clarity is an enforcement advantage. When responsible activity is brought onshore and subject to U.S. oversight, law enforcement gains visibility. When companies operate under clear compliance obligations, investigators gain stronger partners. When America leads, adversaries and illicit actors have fewer opportunities to exploit regulatory gaps.
The United States has long led the world by pairing innovation with the rule of law. The Clarity Act advances that tradition. It strengthens American competitiveness, protects American consumers, supports American law enforcement, and reinforces America’s role as the global standard-setter for financial integrity and technological leadership.
We urge the Senate to advance the Clarity Act and to support a framework that strengthens both law enforcement capabilities and our national security.
Sincerely,