Trump promised to save crypto, but his personal business might kill its landmark CLARITY law
Senate negotiations on the CLARITY Act are stalled over Democratic demands for stronger ethics rules limiting profits from digital asset ventures by senior officials, including the president and vice president. Republicans added ethics language, but Democrats say it is too weak, with loopholes around investments, affiliated companies, and enforcement. The fight reflects the 2024 crypto-election bet: industry leaders warned that aligning too closely with Donald Trump could turn market structure reform into a partisan issue. Trump’s campaign promised crypto-friendly regulation, and after taking office he quickly delivered executive relief, including moves on SEC leadership, banking access, and a Bitcoin reserve. Meanwhile, Trump-linked World Liberty Financial raised conflict-of-interest concerns. CLARITY has advanced farther than prior bills, but final passage now depends on ethics language, stablecoin compromises, and other unresolved issues. The core question is whether tying crypto’s future to Trump helped secure short-term wins while making durable legislation harder to pass.
