A recent bill proposed by Democrats aims to restrict public officials from profiting from digital assets, including cryptocurrencies.
Overview of the COIN Act
The COIN Act (Curbing Officials’ Income and Nondisclosure) was introduced by Senator Adam Schiff to prevent the financial exploitation of digital assets by public officials. It would prohibit current and former public officials, including the president, vice president, and members of Congress, from issuing or promoting digital assets such as meme coins and stablecoins for 180 days before taking office and two years after leaving office.
Ethical and Legal Implications
The legislation will also amend the Ethics in Government Act to require digital assets to be included in financial disclosures and transaction reports. Additionally, it will stipulate that holding or trading cryptocurrency qualifies as a financial interest under conflict of interest laws, requiring officials to recuse themselves from related decisions.
Reactions and Background
The bill is a response to growing concerns over President Donald Trump's financial ties to cryptocurrency ventures. Earlier, Representative Maxine Waters accused Trump of using the memecoin $TRUMP for personal enrichment and expressed concerns over the USD1 stablecoin linked to World Liberty Financial, suggesting it could be a tool for foreign actors.
The COIN Act represents an effort to strengthen ethical standards among public officials and prevent potential conflicts of interest in the sphere of digital assets.
