Leading cryptocurrency advocacy groups are urging lawmakers to include legal protections for software developers in upcoming digital asset legislation. The groups are advocating for the incorporation of the Blockchain Regulatory Certainty Act (BRCA) into the broader Digital Asset Market Clarity (CLARITY) Act of 2025.
The BRCA aims to exempt software developers of non-custodial crypto platforms from being classified as money transmitters, thereby shielding them from certain regulatory requirements. By integrating the BRCA into the CLARITY Act, advocates seek to provide clear legal frameworks that protect developers who contribute to decentralized platforms without directly handling user funds.
The CLARITY Act, introduced in late May, proposes to redefine the roles of the Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC) concerning digital assets. The inclusion of the BRCA is seen as a crucial step in ensuring that innovation in the blockchain space is not stifled by regulatory ambiguity.
Advocacy groups emphasize that clear legal protections are essential for fostering innovation and maintaining the United States’ leadership in blockchain technology. They argue that without such safeguards, developers may face legal uncertainties that could hinder technological advancement and economic growth in the sector.
As discussions around digital asset regulation continue, the push for developer protections highlights the need for balanced policies that encourage innovation while ensuring compliance and consumer protection.
