Does the Clarity Act Have a Human Trafficking Blind Spot?

Summary

The Policy Protocol hosts Rebecca Rettig and Renato Mariotti discuss Coinbase's SEC-registered AI agentic trading and tribal gaming operators' letter seeking to ban prediction markets in the CLARITY Act. Guest Katie Boller Gosewisch argues that Section 604's DeFi developer liability shield could be exploited by human traffickers. The show ends by naming Meta as Person of the Week for its points-based prediction market launch.

• Coinbase launches SEC-registered AI agentic trading, raising legal and compliance questions.
• Tribal gaming operators ask Senate leaders to insert prediction market prohibition into CLARITY Act.
• Renato Mariotti views prediction markets as a 'freight train' and tribal move as a leverage play.
• Katie Boller Gosewisch warns that CLARITY Section 604 could enable traffickers via DeFi platforms.
• Hosts counter that the liability shield is consistent with BSA/FinCEN and other criminal statutes still apply.
• Meta is reportedly launching a points-based prediction market, seen as positive for user engagement.