U.S. Senator Cynthia Lummis is urging the Senate to pass the Digital Asset Market Clarity Act, saying the measure would protect software developers from prosecution for simply publishing code. Lummis outlined her position in a June 22 statement, framing the bill as a way to provide clearer rules for the digital asset ecosystem while safeguarding open-source development.
Developers in the Crosshairs
Lummis said developers face growing legal uncertainty as authorities pursue enforcement actions across the digital asset sector. She argued that the fear of prosecution for releasing or maintaining code risks chilling innovation and deterring legitimate software development in the United States.
What the Proposal Seeks to Clarify
According to Lummis, the Digital Asset Market Clarity Act is intended to draw a clearer line between market intermediaries that handle customer assets and independent developers who publish software. The senator contends that publishing code, by itself, should not expose developers to criminal liability.
Broader Policy Backdrop
The push comes amid a wider congressional debate over how to regulate digital assets. In 2024, the U.S. House of Representatives passed the Financial Innovation and Technology for the 21st Century Act (FIT21) to clarify the roles of the SEC and CFTC, but the Senate has not advanced a companion framework. Ongoing enforcement actions against crypto market participants have increased pressure on lawmakers to provide explicit statutory guidance.
What’s Next
Lummis did not outline a specific timeline for Senate consideration. The bill’s progress will likely hinge on committee review and securing bipartisan support as legislators continue to weigh market oversight, consumer protection, and innovation policy in the digital asset space.