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American senators want to ban Donald Trump and higher officials of any promotion or possession of cryptocurrencies. The aim of this initiative, introduced in the context of stable regulation, is to face any clashes of interests associated with crypto projects supported by the current president. Does this political offensive mean the end of the influence of Trump on the crypto market?
In short
- The aim of the law is to ban Donald Trump and higher officials of any promotion or possession of a crypto.
- This initiative stems from suspected clashes of the interests associated with Stablecoin supported by the Trump family.
- The text could disrupt the cryptological regulation in the United States and weaken Trump’s speculative effect on the markets.
Trump: a law focused on conflict of interest
20 democratic senators introduced ‘ End of the Corruption Act of the crypto »A legislative proposal aimed at limiting access to cryptos for the highest state officials. The text prohibits these images to publish, promote or sponsor any cryptocurrency during their mandate and up to a year after their departure. This measure directly concerns Donald Trump, accused of using his crypto projects for personal purposes, which could lead to his release.
Categories focused on this law include:
- President and Vice -President of the United States;
- The members and ministers of Congress were confirmed by the Senate;
- Some employees of a special government like Elon Musk;
- Spouses and children dependent on these people.
The bill was introduced on May 7, 2025, when the debates on the Stablecoins law defeated full. Forbidden activities are also explicit:
- Create or sponsor cryptocurrency or digital asset;
- Publicly promotes crypto, including through social networks;
- Use these assets as a political or election lever.
Catalyst: Donald Trump and Stablecoins business
This solidification is part of the awakening of the growing activities of Donald Trump in the crypto of the universe. Estimated involvement in World Liberty Financial, which plans to release Stablecoins in cooperation with the investment funds of Abu Dhabi, provokes controversy. This situation led democratic senators to ask for an investigation of a suspicious transaction of $ 2 billion including binance and stablecoin supported by Trump.
Senators therefore condemn the apparent conflict of interest, especially because Trump recently announced that the holders of the $ Trump token are invited to dinner in the White House. Use perceived as harmful and lucrative with its critics, especially Senator Elissa Slotkin, who said:
We have a crocodile much closer to the ship.
Speaking of Trump. This tense political context, in particular, caused the abandonment of the democratic support of the Act on Genius, a bill on supervision of Stablecoins.
Domino effect on the regulation of crypto
The initiative could mean a turning point in regulatory supervision of the crypt sector in the United States. Directly focused on political personalities seeks to restore confidence in the independence of regulatory bodies. For supporters of the text, this is a question of how to prevent leaders from forming laws while using their influence in the crypto sphere.
The potential consequences of this approach include:
- The appeal was restored to the cohesive federal regulation of the sector crypto;
- Reducing the legitimacy of politicians publicly supporting crypto projects;
- A discouraging effect on platforms suspected of a secret agreement with political interests;
- Radicalization of cleavage between fans of free ecosystem and defenders of strict state supervision.
By focusing on Trump, the law imposes a new red border between the public sphere and private ambitions in the crypto of the universe. Senator Elizabeth Warren, a puppet of strict regulation, sees in this project the opportunity to stop a speculative carved -powered -powered interest masked under populist discourse.
What prospects of the crypto market? A fall that comes?
Donald Trump has shown a strong force on the crypto market. His statements often increase lessons, especially during his ads as $ Trump. If the law happened, the markets could lose the main speculative catalyst in favor of more sober regulation.
The question of the bitcoin reserves of some supporters who see the defenders of the sovereign BTC in the current president. The political release of Trump in this industry could encourage certain institutional investors to accept the waiting posture, even withdrawal, in the absence of pro-crepto media relays.
This Bill crystallizes the opposition between strict political supervision and libertarian vision of crypto. By focusing on Donald Trump Democrats, the Democrats will re -confirm the need for public control. But does this approach slow or suffocate innovation? The battle between regulation and crypto freedom has just begun.
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The world is evolving and adaptation is the best weapon that survives in this undulating universe. I am interested in everything about blockchain and its derivatives. To share my experience and promote an area that fascinates me, nothing better than writing informative and relaxed articles simultaneously.
Renunciation
The words and opinions expressed in this article are involved only by their author and should not be considered investment counseling. Do your own research before any investment decision.