Galaxy warns: The Clarity Act will significantly expand US financial surveillance powers

BlockBeats News, January 14, according to Decrypt, Galaxy Research has issued a warning that the "Clarity for Digital Tokens Act" (Clarity Act) draft currently under review by the Senate Banking Committee would significantly expand the U.S. Treasury's financial surveillance powers. The draft includes provisions allowing transactions to be frozen without a court order, as well as expanded "special measures" authority targeting decentralized finance front-ends.

Alex Thorn, Head of Research at Galaxy Digital, stated that if these measures become law, they would "represent the largest single expansion of financial surveillance powers since the 2001 USA PATRIOT Act."