Here is another rewritten version with a cleaner, more editorial crypto-news style:

A new advocacy group, Crypto Watchdog, has launched a campaign in Washington warning about the risks of digital assets, while keeping its financial supporters undisclosed.

The crypto industry’s biggest legislative push in the U.S. is focused on securing rules that would place digital assets within a regulated financial framework. But as the Digital Asset Market Clarity Act enters a difficult stage in the Senate, Crypto Watchdog has begun running ads that portray cryptocurrencies as a tool frequently exploited by criminals.

The campaign, appearing on television and social platforms, claims that criminals operating in areas such as drug trafficking and terrorism use crypto because of limited oversight. The advertisements also reference scams targeting older Americans and argue for stronger regulatory protections.

“Let’s bring crypto out of the shadows now,” the campaign urges.

Crypto Watchdog was recently launched by Executive Director Chapin Fay, a media and political strategist who previously worked on Republican campaigns but had not been publicly involved in cryptocurrency policy.

Fay said the group’s purpose is to increase public understanding of the crypto industry and push for more transparency around a sector worth more than $2 trillion.

The organization began its efforts as lawmakers moved into the final stages of negotiations over the Digital Asset Market Clarity Act. The bill has encountered resistance from some members of both parties as disputes over key provisions continue.

Fay said Crypto Watchdog wants voters and policymakers to have access to more information about the benefits and risks of digital assets before decisions are made on future regulations.

The group referenced a June survey of 1,000 voters that found 65% of respondents had a high level of distrust toward crypto. The findings were similar to other research showing that many Americans remain cautious about the industry.

However, the group’s own transparency practices have attracted criticism. While calling for greater accountability in crypto markets, Crypto Watchdog has not disclosed the identities of its donors.

Asked about the source of the group’s funding, Fay declined to provide details, saying he would not speak on behalf of the organization’s supporters. He argued that transparency requirements for crypto companies and disclosure of advocacy group funding are different issues.

Although Fay says the organization is not against crypto, Crypto Watchdog’s website largely focuses on negative industry events, including security breaches, fraud cases, and thefts.

The campaign comes as the Senate faces a crucial deadline on the Clarity Act. Lawmakers from both parties have resolved many earlier disagreements, but a major dispute remains over proposed restrictions on government officials’ involvement with digital assets.

Democrats have pushed for stronger ethics provisions, particularly due to concerns involving former President Donald Trump. While Trump agreed to an earlier version, critics argued the restrictions were too weak. A revised bipartisan proposal is now awaiting further consideration.

With the Senate preparing for its summer break, crypto supporters view the remaining legislative days as a key opportunity to secure enough votes to move the bill forward. If lawmakers fail to reach a deal, action may be postponed until September.

The banking sector remains one of the strongest opponents of the legislation, arguing that crypto platforms offering stablecoin rewards could encourage users to shift deposits away from traditional banks and put pressure on the existing financial system.