In a fresh twist to the ongoing saga of U.S. cryptocurrency regulation, Senator Adam Schiff of California has ignited a political firestorm with the introduction of the Curbing Officials’ Income and Nondisclosure (COIN) Act. The legislation aims to ban President Donald Trump—and other top government officials—from dabbling in the issuance, sponsorship, or endorsement of digital assets during their tenure and for two years thereafter. Schiff’s move comes hot on the heels of the recently passed stablecoin bill and reflects growing concerns among some Democrats about the ethical implications of Trump’s crypto endeavors, as highlighted in Crypto Is Now Trump’s Second-Most Lucrative Source of Income.
Crypto’s Political Quagmire
Schiff, a notable supporter of digital asset legislation, surprised many by championing a measure seemingly at odds with his prior votes. His COIN Act aligns with at least four other bills seeking to insulate the highest echelons of government from potential conflicts of interest involving cryptocurrencies. According to Schiff, Trump’s foray into digital assets poses “significant ethical, legal, and constitutional concerns,” citing the president’s previous ventures with NFTs and memecoins as red flags.
Despite Schiff’s standing as a pro-crypto lawmaker—evidenced by his A grade from the advocacy group Stand With Crypto—the introduction of this bill underscores a complicated relationship between politics and cryptocurrency. Schiff isn’t alone in his stance; Representative Ritchie Torres, another crypto ally, has introduced similar legislation mirroring Schiff’s objectives.
Navigating the Legislative Labyrinth
While Schiff’s intentions may resonate with a segment of the legislative body, the path forward is fraught with challenges. The Senate, steadfastly divided, requires bipartisan support for any crypto-related bill to see the light of day. The Fairshake super PAC, a powerful force in the crypto lobbying scene, has already funneled over $10 million to influence legislative outcomes. Yet, Schiff’s proposal, despite its controversial nature, highlights a broader concern within the Democratic ranks: the potential for government officials to exploit their positions for personal gain in the burgeoning crypto market.
The Democratic camp isn’t monolithic in its approach, though. Figures like Senator Chris Murphy and Representative Maxine Waters have also thrown their weight behind similar initiatives. However, the Republican-controlled Congress poses a formidable barrier to any rapid advancement of these bills. Insiders speculate that proponents may attempt to embed these measures within broader legislative frameworks, such as the market structure bill, which remains a high priority for crypto advocates in Washington.
The Trump Factor
President Trump’s evolution from crypto skeptic to digital assets impresario adds a layer of intrigue to the ongoing debate. His ventures, ranging from NFT launches to partnerships with World Liberty Financial, have been a lightning rod for criticism. The specter of his family’s potential financial windfall from crypto legislation only adds fuel to the fire, as detailed in TRUMP’S CRYPTO RISK, THE CRCL TRADE, MARKET VOLATILITY. Nevertheless, Trump remains eager to cement the U.S. as a global crypto leader, a stance that sits uneasily with many Democrats wary of his motives.
For now, the future of Schiff’s COIN Act—and similar legislative efforts—remains uncertain. While the bills may struggle to gain traction in the current Congress, they underscore a growing recognition of the need for ethical boundaries in the intersection of politics and cryptocurrency. As the debate unfolds, the crypto industry and its observers will be watching closely, aware that the stakes are nothing short of transformative for the sector’s future in the U.S.
Source
This article is based on: Trump’s Crypto Ties Still Toxic With Some Dems, Including One Seen as Industry Ally
Further Reading
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Steve Gregory is a lawyer in the United States who specializes in licensing for cryptocurrency companies and products. Steve began his career as an attorney in 2015 but made the switch to working in cryptocurrency full time shortly after joining the original team at Gemini Trust Company, an early cryptocurrency exchange based in New York City. Steve then joined CEX.io and was able to launch their regulated US-based cryptocurrency. Steve then went on to become the CEO at currency.com when he ran for four years and was able to lead currency.com to being fully acquired in 2025.
