New COIN Act Seeks to Curb Trump’s Crypto Profits and Ban Digital Asset Deals by Officials
June 27, 2025 – Washington, D.C.
In a bold legislative move, a coalition of Senate Democrats led by Senator Adam Schiff (D–Calif.) has introduced a new bill targeting what they view as an emerging frontier of political corruption: cryptocurrency. Known as the Curbing Officials’ Income and Nondisclosure (COIN) Act, the legislation aims to prohibit public officials and their families from issuing, endorsing, or profiting from digital assets—a move many believe directly responds to the recent revelations about former President Donald Trump’s multimillion-dollar crypto earnings.
The bill, announced on June 23, 2025, would reshape how digital assets are regulated in the political sphere and potentially impose the most sweeping ethics reform involving cryptocurrencies in U.S. history.
🚨 What the COIN Act Proposes
The COIN Act presents a sweeping framework to regulate how public officials interact with cryptocurrencies, stablecoins, NFTs, and meme coins. It seeks to amend the Ethics in Government Act of 1978, creating an updated framework for the digital era.
🧾 Key Provisions Include:
- A ban on issuing, promoting, or endorsing any cryptocurrency or digital asset by high-ranking public officials.
- The restriction applies to:
- The President and Vice President
- Members of Congress
- Senior Executive Branch officials
- Special Government Employees
- Immediate family members
- Timing of restrictions: The ban begins 180 days before entering office and extends to two years after leaving.
- Mandatory disclosure of digital asset holdings or transactions exceeding $1,000, to be filed:
- Annually in financial disclosure reports
- In real-time after transactions
- Quarterly audits from stablecoin issuers to confirm no political figure is financially benefiting from token circulation.
- A formal review by the Government Accountability Office (GAO) within 12 months of the bill’s passage.
This effort marks a historic attempt to bring digital assets into the realm of political ethics compliance—an area previously dominated by real estate, equities, and lobbying relationships.
💰 Why Now? Trump’s $57 Million Crypto Windfall Sparks Scrutiny
The catalyst behind the bill appears to be President Trump’s recent financial disclosure, which revealed staggering earnings from a DeFi platform called World Liberty Financial (WLF). According to filings, Trump allegedly earned between $57.3 million and $57.4 million from token sales and digital asset partnerships tied to the platform.
WLF, known for its memecoins and stablecoins like USD1, has raised over $550 million through token sales. Notably, Trump is said to hold roughly 15.75 billion governance tokens, raising concerns about potential conflicts of interest, especially as the platform gains popularity in both the U.S. and abroad.
Adding to the controversy, WLF recently received a $2 billion investment from an Abu Dhabi-backed firm, further fueling concerns about foreign entanglements and ethical violations at the highest levels of government.
🕵️ Broader Concerns: Ethics, Influence, and “Digital Bribery”
Crypto and governance experts say the COIN Act is long overdue, pointing to blurring lines between digital finance and political power. Senator Schiff and co-sponsors argue that without strict rules, crypto assets could become a “new vehicle for unlimited political bribery.”
This sentiment echoes a February warning from Ethereum co-founder Vitalik Buterin, who criticized the rise of political meme coins, calling them a “dangerous precedent” that could undermine the credibility of both crypto projects and public institutions.
In fact, watchdog group Public Citizen formally petitioned the Department of Justice and Office of Government Ethics earlier this year, questioning whether Trump’s crypto profits violate federal gift laws—particularly given his role in promoting the platform and attending related events.
🍽️ The Golf Club Incident: Fueling the Fire
One particularly controversial moment came when Trump reportedly hosted a private dinner for over 220 top memecoin holders at his Washington, D.C., golf resort. Following the event, the coin’s value surged on social media platforms, raising eyebrows about whether the gathering constituted insider promotion or price manipulation.
“Hosting crypto investors at your private club, while personally profiting from the same asset, is ethically indefensible,” said Sen. Lisa Blunt Rochester (D–Del.).
📜 The COIN Act’s Legislative Journey: Allies, Critics, and Hurdles Ahead
The bill is co-sponsored by several Democratic senators, including:
- Ben Ray Luján (D–N.M.)
- Angela Alsobrooks (D–Md.)
- Catherine Cortez Masto (D–Nev.)
- Andy Kim (D–N.J.)
The legislation also enjoys support from ethics watchdogs and nonpartisan groups, including the Project on Government Oversight and Public Citizen, who view the COIN Act as a vital update to aging ethics rules in light of the crypto boom.
❌ But Not Everyone Is On Board
In a sharply divided Congress, the bill faces uphill battles, particularly in the Senate, where Republican support is lacking. President Trump, who continues to wield significant influence in both the Republican Party and broader political discourse, has shown no sign of supporting the legislation.
He has dismissed ethical concerns, pointing out that his digital assets are held in a blind trust managed by his children—a structure ethics advocates argue still falls short of full divestment or transparency.
Furthermore, Republican lawmakers such as Senator Cynthia Lummis (R–Wyo.) are instead focusing on crypto-friendly frameworks like the CLARITY Act and GENIUS Act, which aim to establish regulatory clarity and innovation protections—but make no mention of political ethics or conflict-of-interest rules.
🔍 Crypto in Politics: A Legal and Ethical Grey Area
The explosive growth of blockchain and crypto assets in recent years has outpaced the development of meaningful legal guardrails—especially regarding elected officials.
While financial disclosure laws exist, they don’t yet account for anonymous wallets, decentralized finance holdings, or token-based compensation, all of which complicate enforcement and invite bad actors.
Without clear regulation:
- Officials can quietly accumulate tokens pre-election and benefit post-victory.
- Crypto-based PACs or DAOs could funnel funds with limited oversight.
- Pump-and-dump schemes tied to political endorsements may increase.
If passed, the COIN Act would be the first federal legislation explicitly banning elected officials and their families from direct involvement in crypto-related projects.
🧠 What Experts Are Saying
Walter Shaub, former Director of the Office of Government Ethics, called the COIN Act “a landmark proposal that acknowledges the modern threats to public trust.” He noted that existing ethics laws are “woefully outdated” and that digital asset involvement by politicians “represents the next Watergate, unless controlled now.”
Sheila Warren, CEO of the Crypto Council for Innovation, offered a more measured response, saying:
“While we support transparency and fairness in government, any legislative effort must balance ethics with the innovation potential of blockchain technologies. We encourage lawmakers to collaborate with technologists to ensure the bill is forward-thinking.”
🔮 What’s Next: Can the COIN Act Become Law?
The COIN Act’s future is uncertain. Despite broad public interest and support from progressive watchdog groups, its success depends on bipartisan cooperation—a tall order in the current political climate.
If passed, the act would mark a significant expansion of federal ethics rules into the digital financial space. It would also serve as a precedent-setting framework for other nations seeking to address the fusion of politics and decentralized finance.
However, should it stall in Congress or be vetoed by President Trump, the political conversation around crypto and corruption is unlikely to fade. More legislators, advocacy groups, and even blockchain developers are now recognizing the importance of keeping politics and profit ethically separate—particularly when emerging technologies are involved.
🏁 Final Thoughts: Why the COIN Act Matters
The COIN Act is not just a political statement—it’s a reflection of a rapidly changing world, where public office, personal branding, and financial instruments can merge into powerful (and potentially dangerous) combinations.
As more elected officials dip their toes into the world of NFTs, meme coins, and DeFi platforms, the line between public service and private gain continues to blur. The COIN Act aims to draw that line sharply and transparently, offering a template for responsible governance in the crypto age.
Whether or not it becomes law, the message is clear: crypto is no longer just a financial issue—it’s a democratic one.