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29 Mar 2026, 05:30

This Week in Crypto Law (Mar. 22, 2026)

Law and Ledger is a news segment focusing on crypto legal news, brought to you by Kelman Law – A law firm focused on digital asset commerce. This Week in Crypto Law The opinion editorial below was written by Alex Forehand and Michael Handelsman for Kelman.Law. This week in crypto law highlighted a growing reality:

29 Mar 2026, 05:00

Senator Defends CLARITY Act As Developer Protection Debate Heats Up

A crypto developer was convicted last year for running an unlicensed money-transmitting business. That case — and others like it — is now driving one of the sharpest disagreements in Washington over how the US plans to regulate decentralized finance. The Conviction That Changed The Conversation Roman Storm , co-founder of the cryptocurrency mixing platform Tornado Cash, was found guilty in August 2025 of conspiracy charges tied to the operation of an unlicensed money-transmitting service. His conviction sent a chill through the developer community. It also made the legal definitions buried inside pending crypto legislation feel a lot more urgent. That backdrop is now shaping a public dispute between Senator Cynthia Lummis and prominent crypto attorney Jake Chervinsky over whether the Digital Asset Market Clarity Act — widely known as the CLARITY Act — actually protects the developers it claims to defend. Don’t believe the FUD– we have worked on a bipartisan basis for the last few weeks to make changes to Title 3 that make this bill the strongest protection for DeFi and developers ever enacted. We have to pass the Clarity Act to get these protections. https://t.co/CMQNHuvvFv — Senator Cynthia Lummis (@SenLummis) March 27, 2026 CLARITY Act: What Chervinsky Gets At Chervinsky’s concern is specific. Title 3 of the current Senate Banking Committee draft, he argues, contains money transmitter language broad enough to pull non-custodial software developers into Bank Secrecy Act territory — meaning KYC obligations and the regulatory exposure that comes with them. His position: that result would effectively hollow out the Blockchain Regulatory Certainty Act, which was written precisely to keep non-custodial builders out of that category. But the draft also has provisions in Title 3 that undermine the BRCA and subject all sorts of non-custodial software developers to KYC obligations anyway. Those sections must be fixed or the bill doesn’t work for DeFi. If the bill doesn’t work for DeFi, it doesn’t work at all. — Jake Chervinsky (@jchervinsky) March 26, 2026 “The biggest challenge is ensuring non-custodial software developers aren’t misclassified as money transmitters,” Chervinsky said. He called the issue non-negotiable for DeFi, and said it remains unsettled. The tension he’s flagging isn’t small. Section 604 of the CLARITY Act does incorporate the BRCA, which states that developers who don’t hold or control user funds should not be treated as financial institutions. But Chervinsky’s read is that other language in Title 3 creates enough ambiguity to undo that protection in practice. On Friday, Lummis fired back directly. She said recent bipartisan revisions to Title 3 make the bill the strongest protection for DeFi developers ever put into law. “Don’t believe the FUD,” she posted on X, urging supporters to back the legislation’s passage. Text Still Not Public While earlier drafts of the CLARITY Act have been made public, the latest negotiated revisions referenced by Cynthia Lummis have not yet been fully released. That means the specific changes she is describing cannot be independently verified — at least for now. What is known: the bill is gaining momentum. Bipartisan progress on stablecoin rewards provisions has pushed it closer to a Senate Banking Committee markup, expected sometime in April. Chervinsky has noted that those stablecoin provisions have consumed most of the public attention, leaving the developer protection debate in the background despite its significance. For developers watching closely, the stakes could not be more concrete. The question of whether writing non-custodial software qualifies someone as a money transmitter is not theoretical. Roman Storm found that out in court. Until the revised CLARITY Act text is available for review, the industry’s only assurance is a senator’s word on social media. Featured image from Pexels, chart from TradingView

28 Mar 2026, 20:10

Turkish lawmakers withdraw crypto tax provisions from omnibus bill

The parliament in Turkey has removed provisions introducing cryptocurrency taxation from a massive bill designed to regulate a range of matters related to tax collection and government spending. The texts, which proved contentious as they envisaged imposing a levy on all transactions through crypto platforms, were withdrawn after a strong pushback from opposition lawmakers and stakeholders. Crypto tax provisions dropped from Turkish law Members of Turkey’s legislature have withdrawn provisions aimed at taxing cryptocurrency transactions following talks between the parliamentary majority and other factions. The articles were part of a sweeping bill covering not just tax policy, but other economic regulations as well and defense spending, the English-language edition Hürriyet Daily News unveiled on Saturday. The last-minute agreement for their deletion was reached ahead of a formal meeting presided over by the Deputy Speaker of the Grand National Assembly, Celal Adan, the report detailed. The provisions would have slapped a 0.3% transaction tax on sales and transfers of digital assets processed by crypto service providers in Turkey, collected and paid to the state each month. They were also introducing taxation for crypto-related earnings, obliging intermediaries to withhold 10% on the capital gains of their clients on a quarterly basis, as reported by Cryptopolitan earlier in March. The texts, strongly criticized by the opposition, had been added to the omnibus bill by the ruling Justice and Development (AK) Party. While the proposals have been removed now, their representatives indicated they may file a revised draft as part of a separate legislative initiative. The government in Ankara is still hoping to tap into the massive financial flows generated by the country’s growing cryptocurrency sector. The Turkish crypto market expanded significantly over the past few years, marked by high inflation of the national fiat currency, the lira. Turkey wanted to tax even crypto withdrawals By all indications, Turkey’s tax authority has played a leading role in drafting the controversial legislation as crypto assets are treated mainly from its own perspective. That resulted in two main issues, according to Ussal Sahbaz, managing partner at Ussal Consultancy & MnP Istanbul Hub, who took to X to explain thoroughly. The first stems from the intention to apply the suggested transaction tax to all transfers via service providers, including those to self-custody wallets, he pointed out and elaborated: “In practice, this is equivalent to taxing cash withdrawals from a bank. Globally, this type of approach is extremely rare—reportedly seen only in Kenya.” Introducing withholding tax on crypto income creates the other problem, noted Sahbaz, whose efforts are focused on bridging the gap between business and policy in Turkey. “For an asset class with near-zero mobility costs, this would likely push users toward offshore platforms where taxation is declaration-based,” the expert warned. He reminded that similar developments have already been observed in India and South Korea, “both of which are now trying to correct for unintended capital outflows.” I the case of cryptocurrencies, “poorly designed taxation does not increase revenues—it shifts the tax base elsewhere,” added the Turkish analyst who specializes in emerging markets. Ussal Sahbaz recalled that the government-proposed bill quickly passed through parliamentary committees, which approved it without much consultation with interested parties. Its crypto provisions were only withdrawn at the last moment, thanks to the active efforts of a small group of lawmakers and under pressure from stakeholders. The remaining part of the broad bill still contains other significant fiscal measures, the Hürriyet news outlet highlighted in its report. For example, it introduces a 20% “special consumption tax” on diamonds, pearls, and other precious stones, including products made from them. It also bans companies in Turkey’s gambling and betting industry from deducting advertising expenses from their taxable income. If you're reading this, you’re already ahead. Stay there with our newsletter .

28 Mar 2026, 19:30

Morgan Stanley Eyes Bitcoin ETF With Fee That Could Shake An $83 Billion Market

Morgan Stanley’s 16,000 financial advisors manage $6.2 trillion in client assets. That number has been sitting in the background of a major filing — and it explains a lot about why the bank set its proposed Bitcoin ETF fee where it did. A Fee Built For Advisors, Not Just Investors The bank filed an updated S-1 registration statement with the SEC on Friday, setting the fee for its proposed Morgan Stanley Bitcoin Trust at 0.14%. If approved, that would make it the lowest fee of any spot Bitcoin ETF currently trading in the US market. Bloomberg ETF analyst Eric Balchunas said the fee was set with advisors in mind — at that price point, no one on the firm’s sales floor would feel awkward recommending the product to clients. That is a practical calculation. Advisors who push high-fee products into client portfolios face questions. At 0.14%, those questions go away. BlackRock’s iShares Bitcoin Trust charges 0.25%. The Grayscale Bitcoin Mini Trust sits at 0.15%. Morgan Stanley is going in one basis point below both of its nearest rivals. Bloomberg ETF analyst James Seyffart called it a big move and said an early April launch is likely, pending regulatory approval. WOW. We have the fee on Morgan Stanley’s spot bitcoin ETF $MSBT . Will charge just 0.14% !!! Big move here. They are not messing around. Likely to launch in early April. https://t.co/R0iA3wMB5N — James Seyffart (@JSeyff) March 27, 2026 First Bank To Issue A Spot Bitcoin ETF Approval would put Morgan Stanley in a category of one. No major bank has yet issued a spot Bitcoin ETF in the US. That distinction, combined with a rock-bottom fee and a distribution network of thousands of advisors, gives the product a strong early position if it clears the SEC. The bank named Coinbase and Bank of New York Mellon as custodians for the fund. Those are two of the most established names in digital asset custody, and the pairing signals that Morgan Stanley is building this to last — not testing the waters. Rivals will now face a decision. The $83 billion spot ETF market has operated with fees clustered around 0.20% to 0.25%. A new entrant coming in below all of them puts pressure on existing providers to respond or accept the risk of losing assets over time. More Than Just Bitcoin The Bitcoin ETF is one piece of a larger push. In January, Morgan Stanley also filed for a Solana ETF and a staked Ether ETF. Weeks later, it applied for a national trust banking charter that would allow it to custody digital assets, carry out trades, and offer staking services directly to clients. Featured image from Unsplash, chart from TradingView

28 Mar 2026, 19:05

Ripple CEO Just Laid Out What Act Passing Really Means for Ripple and XRP

The race to define digital asset regulation in the United States has entered a critical stage, and the outcome will shape the future of blockchain finance. Industry leaders no longer speak in hypotheticals; they now outline tangible shifts that could follow once lawmakers establish clear rules. At the center of this evolving narrative stands Brad Garlinghouse , whose recent remarks have sharpened focus on what regulatory clarity could unlock for the market. Crypto commentator Archie drew attention to Garlinghouse’s response during a discussion about the impact of clarity on Ripple and its native asset, XRP. His explanation reveals a strategic reality: Ripple does not need to change its core operations, but the broader financial ecosystem around it stands on the verge of transformation. Regulatory Clarity Removes Institutional Friction Garlinghouse made it clear that regulation will not redefine Ripple’s business model; instead, it will eliminate the uncertainty that has restrained institutional adoption. For years, U.S. banks have avoided deep engagement with digital assets due to unclear compliance frameworks and legal risks. This hesitation has slowed integration, even as blockchain technology has proven its efficiency. Brad Garlinghouse just laid out what CLARITY passing really means for Ripple & XRP Maria asks: “What happens when clarity gets passed for Ripple?” Brad: “It won’t change Ripple’s business too much… what it DOES is unlock the banks in the United States who have been… https://t.co/mfKvhZ5G04 pic.twitter.com/W3776MOB0G — Archie (@Archie_XRPL) March 27, 2026 The proposed Digital Asset Market Structure CLARITY Act aims to resolve this ambiguity by defining how digital assets operate within existing financial laws. Once regulators codify these rules, financial institutions can move forward with confidence, knowing they operate within a compliant structure. Banks Poised to Enter at Scale Garlinghouse directly linked regulatory clarity to institutional participation. He emphasized that many banks have already shown interest in blockchain-powered solutions but have held back due to regulatory uncertainty. Clear legal guidance will unlock that hesitation. Ripple’s infrastructure already supports fast, low-cost, and energy-efficient cross-border payments through XRP. Its On-Demand Liquidity solution enables near-instant settlement without the need for pre-funded accounts. With regulatory barriers removed, major financial institutions can integrate these solutions at scale, accelerating adoption across global payment corridors. We are on X, follow us to connect with us :- @TimesTabloid1 — TimesTabloid (@TimesTabloid1) June 15, 2025 XRP’s Utility Expands Beyond Payments XRP’s value proposition extends beyond cross-border transfers . The XRP Ledger continues to evolve into a platform for tokenizing real-world assets, including financial instruments and stable-value assets. This functionality aligns with a growing institutional focus on blockchain-based asset issuance and settlement. Regulatory clarity will strengthen this narrative. Institutions require legal certainty before deploying capital into tokenization frameworks. Once that certainty exists, XRPL’s efficiency and low transaction costs will position it as a viable infrastructure for large-scale financial applications. A Structural Shift in Market Dynamics Garlinghouse’s message highlights a broader transformation rather than a single catalyst. Regulatory clarity will expand the total addressable market by bringing traditional financial institutions into the digital asset space. This shift will not only validate existing use cases but also accelerate innovation across payments, liquidity management, and asset tokenization. If lawmakers finalize clear regulatory frameworks, XRP could move from a globally utilized asset to a core component of institutional finance. The convergence of compliance, utility, and adoption may mark the beginning of a new phase for Ripple and the wider blockchain industry. Disclaimer : This content is meant to inform and should not be considered financial advice. The views expressed in this article may include the author’s personal opinions and do not represent Times Tabloid’s opinion. Readers are urged to do in-depth research before making any investment decisions. Any action taken by the reader is strictly at their own risk. Times Tabloid is not responsible for any financial losses. Follow us on Twitter , Facebook , Telegram , and Google News The post Ripple CEO Just Laid Out What Act Passing Really Means for Ripple and XRP appeared first on Times Tabloid .

28 Mar 2026, 18:30

Federal Judge Blocks Pentagon From Labeling Anthropic a National Security Threat

This past week, a federal judge in San Francisco blocked the Pentagon and the Trump administration from enforcing a national security designation against Anthropic, the artificial intelligence (AI) company that refused to remove safety restrictions from its Claude models. Court Halts Trump Administration’s Ban on Anthropic’s Claude AI for Federal Agencies U.S. District Judge Rita