Senator Schiff Introduces Bill to Ban Trump Family Crypto Profits

US Senator Adam Schiff has introduced a new bill aimed at preventing President Donald Trump and his family from profiting through cryptocurrencies. The legislation, titled the Curbing Officials’ Income and Nondisclosure (COIN) Act, seeks to prohibit high-ranking public officials, including the president, vice president, and members of Congress, from issuing, sponsoring, or endorsing digital assets. This ban would apply from 180 days before an individual enters public service until two years after they leave office, extending to their immediate family members as well.

The bill also mandates that public officials include crypto assets in their annual financial disclosures and periodic transaction reports. Schiff, a Democrat from California, has expressed concerns over Trump’s involvement in the crypto industry, particularly his association with World Liberty Financial (WLF), a decentralized finance (DeFi) platform. Trump’s recent financial disclosure indicated he earned over $57.3 million from WLF, raising significant ethical, legal, and constitutional concerns.

Schiff’s initiative is driven by the belief that Trump’s crypto deals have exploited his position for personal gain, a practice he aims to prevent through the COIN Act. The bill has garnered support from nine other Senate Democrats, who share concerns about the potential for conflict of interest and the violation of public trust. Senator Ben Ray Luján emphasized the need for transparency and accountability, stating that Trump’s use of his position to profit from a personal meme coin is a blatant form of corruption.

WLF has seen substantial inflows and international interest, with a notable $2 billion transaction involving USD1 announced by an Abu Dhabi-based firm. The Trump family has reportedly reduced its stake in WLF from 75% to 40%, a move that critics suggest may be an attempt to mitigate scrutiny while retaining profits. The COIN Act is part of a broader effort by Democratic lawmakers to address the ethical and legal concerns surrounding the involvement of public officials in the crypto industry. However, the bill faces significant challenges in a Republican-controlled Congress, and even if it were to pass both chambers, the likelihood of a presidential veto remains high.

Schiff’s legislation aims to expand the reporting requirements of the existing STOCK Act to include digital assets, ensuring that public officials disclose their cryptocurrency holdings and transactions. The bill is designed to hold public officials to the same ethical standards as other government employees and to prevent the pursuit of personal gain through digital assets. The COIN Act is expected to face opposition from the cryptocurrency industry, which has long advocated for self-regulation and minimal government oversight. However, Schiff and his colleagues argue that the bill is a necessary step towards ensuring that the cryptocurrency industry is held to the same ethical standards as other financial industries. The legislation is also expected to face resistance from some members of Congress who may be concerned about its potential impact on the cryptocurrency industry. Despite these challenges, the COIN Act represents a significant effort to regulate the cryptocurrency industry and hold public officials accountable for their financial activities.