Newly approved ethics language signed by President Donald Trump would prohibit federal officials from issuing cryptocurrencies, and would put the Justice Department in charge of enforcing it, not states, which could become a sore spot in trying to pass broader cryptocurrency legislation.
Talk of the ethics language came out during an industry call on Tuesday afternoon with White House top crypto adviser Patrick Witt.
The language would prohibit federal officials such as members of Congress, the president and vice president from issuing digital assets, three sources told The Block on Tuesday. The language also would put the Justice Department as the chief enforcer of the provision, not state attorneys general, which could become a flashpoint since Democrats have argued for states to have some control, two of the sources confirmed.
Late on Monday, Trump agreed to ethics language following months of negotiations among lawmakers over how to limit presidents, vice presidents, members of Congress and other federal officials from profiting from digital assets while in office. Ethics has been the final hurdle, after many, in getting sweeping crypto legislation, called the Clarity Act, passed into law.
