Sen. Adam Schiff from the Democratic Party has unveiled a new legislative initiative known as the COIN Act, which seeks to prevent U.S. Presidents and their immediate families from engaging in or endorsing cryptocurrency ventures. This move raises questions about the underlying motivations of the Democrats and the potential implications for Donald Trump.
### The New Act
The full title of Adam Schiff’s proposed legislation is the Curbing Officials’ Income and Nondisclosure Act. While the act does not specifically target Trump’s cryptocurrency enterprises, it establishes a prohibition against sitting presidents, vice presidents, and their immediate relatives—including siblings, spouses, and children—from leveraging their influential positions in the cryptocurrency and broader financial sectors. In addition to cryptocurrencies, this act also regulates endorsements and the issuance of securities, commodities, and futures. It strictly forbids top officials and their families from endorsing cryptocurrency projects or using their names or images to promote financial ventures. Furthermore, the legislation restricts the issuance and sponsorship of financial assets. However, it does not prevent presidents and their families from purchasing, holding, or transferring cryptocurrencies. Any crypto holdings by high-ranking officials must be disclosed, similar to other financial assets. Violators of this act face penalties, including potential restitution of illegal profits to the U.S. Treasury. If a violation results in a collective loss exceeding $1 million to citizens or involves bribery, the offenders may also face criminal charges. Moreover, insider trading and fraudulent activities are explicitly prohibited.
### Burgeoning Crypto Empire of the Trumps
Given the Trump family’s close involvement with various cryptocurrency projects, the COIN Act poses a significant threat to their financial interests. In a video message shared on social media, Schiff asserted that Donald Trump and other senior officials have profited immensely from cryptocurrency schemes. He introduced the COIN Act as a means to address this apparent corruption. Schiff referenced Trump’s recent financial disclosures, which indicated considerable earnings from merchandise bearing his image and name, including a Bible branded with his name. However, Schiff emphasized that the most substantial profits for Trump and his family stem from their involvement in the “cryptocurrency scheme.” One notable aspect of this scheme is the Official Trump memecoin, which has not been disclosed as Trump launched it prior to his inauguration. Additionally, Schiff pointed to the stablecoin USD1, created by World Liberty Finance—an enterprise closely associated with Donald Trump and his sons, Donald and Eric—indicating that Trump earned $57 million in the first quarter of 2025 through this affiliation. The COIN Act jeopardizes these ventures, implementing a ban on cryptocurrency business participation that extends from 180 days before a presidential term to two years after its conclusion. This could render proceeds from the Official Trump and Melania memecoins illegal and hinder the Trump family’s involvement with World Liberty Finance. In January 2025, the Trump Media and Technology Group, responsible for Truth Social, announced plans to invest $250 million in cryptocurrencies via a new platform called Truth.Fi. Eric Trump serves as the chief strategic officer for American Bitcoin, a mining venture that announced its intention to go public, with 98% of the company owned by Eric Trump and Donald Trump Jr.
### Future of the COIN Act
Despite the absence of restrictions on cryptocurrency business for senior officials in the GENIUS Act, Schiff supported that bill, indicating he does not intend to obstruct crypto innovation in the U.S. However, he remains vigilant regarding the pronounced conflicts of interest surrounding Trump. Currently, the COIN Act has garnered the backing of nine Senate Democrats, though its future remains uncertain. Historically, Republicans have shown little inclination to restrict Trump’s cryptocurrency involvement, which raises the possibility that the COIN Act could face rejection, much like previous amendments to the GENIUS Act. Ultimately, the evolution of this pivotal legislation will reveal whether it will become law.
