Connecticut Attorney General William Tong joined a bipartisan coalition of 16 other state attorneys general in sending a letter to the U.S. Senate Banking Committee opposing the Digital Asset Market Clarity Act, warning it would preempt state authority to protect investors from cryptocurrency fraud and scams. The coalition urges Congress to preserve state enforcement, registration, and federal-state cooperation roles over digital assets. This is a legislative advocacy action, not an enforcement action — no entity was charged, no violations were found, and no penalty was imposed.
No remedies imposed. The press release announces a multistate advocacy letter to Congress opposing proposed legislation; the coalition asks Congress to preserve state enforcement roles for tokenized and non-tokenized securities, preserve federal-state cooperation, codify state crypto registration regimes, and clarify ambiguous language in the bill.
This is a legislative advocacy action rather than an enforcement action, so it imposes no direct contractual obligations today. However, if the Clarity Act advances, in-house teams at companies with digital-asset exposure — including payment processors, custody providers, exchanges, and investment platforms — should review change-in-law and regulatory-compliance clauses in vendor and customer agreements to address potential SEC preemption of state registration regimes, representations and warranties regarding the legal classification of digital assets as securities, state licensing and registration obligations for crypto platforms, and allocation of liability for fraud or investor-protection compliance failures. Organizations operating in states that signed the letter (CA, NY, NJ, MA, WA, and others) should anticipate continued aggressive state-level crypto enforcement and ensure vendor agreements include cooperation clauses for state AG inquiries and indemnification for regulatory actions arising from digital-asset services.
Entity
Digital Asset Market Clarity Act (proposed federal legislation — no enforcement target entity)
Industry
OtherOfficial Press Release
https://portal.ct.gov/ag/press-releases/2026-press-releases/ag-tong-calls-on-congress-to-preserve-ability-to-protect-against-crypto-scams
2026914 clarity act letter with signatures.pdf?rev=a9beaeccb
https://portal.ct.gov/-/media/ag/press_releases/2026/2026914-clarity-act-letter-with-signatures.pdf?rev=a9beaeccbccb41b1bfffd343921c9645&hash=F3F0F92FC83E21548101E7FB7B6577FB
Connecticut Attorney General Enforcement Page
https://portal.ct.gov/AG/Privacy/Privacy-Resources
"Attorney General Tong Calls on Congress to Preserve States’ Ability to Protect Americans from Cryptocurrency Scams"
"09/14/2026"
"Attorney General William Tong today joined a bipartisan coalition of 16 other attorneys general in opposing the Digital Asset Market Clarity Act (Clarity Act)"
"the Digital Asset Market Clarity Act (Clarity Act)"
"opposing the Digital Asset Market Clarity Act (Clarity Act)"
"The attorneys general caution that as written, the Clarity Act would prevent states from serving as the first line of defense against the escalating epidemic of cryptocurrency fraud."
$625K
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