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Senate bill seeks to block presidential crypto gains amid TRUMP memecoin controversy

Senate Democrats introduced legislation that would bar sitting presidents, lawmakers, and their families from issuing, endorsing, or holding cryptocurrency.

The End Crypto Corruption Act, announced May 6, seeks to prevent elected officials from personally benefiting from digital assets while shaping policy.

Bill targeting Trump’s memecoin issuance drops amid stablecoin legislation worries

As Senator Jeff Merkley’s (D-OR) office announced, the bill arrives just days before the Senate is scheduled to vote on the GENIUS Act, a stablecoin regulatory framework that could reshape how digital assets are governed in the United States.

The timing has drawn sharp attention due to the surge of USD1, a stablecoin linked to President Donald Trump’s family, which recently surpassed $2.1 billion in market capitalization. As Axios reported, Democratic leaders view the new legislation as a necessary firewall against potential conflicts of interest in the middle of a regulatory inflection point.

The End Crypto Corruption Act would ban the President, Vice President, senior executive officials, members of Congress, and their immediate families from issuing or endorsing cryptocurrencies or financially benefiting from their issuance. Violations would result in penalties including fines of up to $1 million and disgorgement of gains.

Senator Merkley framed the legislation as a response to what he called “profoundly corrupt” schemes allowing powerful officials to profit from crypto speculation.

“Currently, people who wish to cultivate influence with the president can enrich him personally by buying cryptocurrency he owns or controls.

This is a profoundly corrupt scheme. It endangers our national security and erodes public trust in government. Let’s end this corruption immediately.”

Senate Majority Leader Chuck Schumer echoed the concerns, warning that the ability of individuals to buy tokens linked to sitting officials undermines democratic institutions.

Why has the bill been introduced?

The effort directly targets Trump’s burgeoning involvement in the crypto sector. USD1’s market capitalization expanded rapidly after launch, aided by promotional campaigns tied to Trump’s brand. World Liberty Financial, the issuer of USD1, structured the token to channel hundreds of millions of dollars in revenue towards a Trump-linked holding entity.

Further, the gala dinner for the top TRUMP memecoin holders, with VIP access to the president being awarded to the top 25 holders, is set to go ahead this month. Even vocal supporters within Trump’s own party have remained unusually quiet around the ethics of the event, which gives TRUMP memecoin whales (including non-US citizens) face time with the president. The Trump family, advisors, and other insiders hold 80% of the total supply of TRUMP, with just 10% in circulation to the public.

Libertarian-leaning members expressed concern over government restrictions on private financial activity, while others suggested ethics standards should evolve alongside crypto’s growing role in finance. Senator Cynthia Lummis noted she is open to stricter ethics language but questioned whether the current bill’s scope was constitutional.

GENIUS stablecoin act

The GENIUS Act faces a tight path to passage after 11th-hour pushback. Though largely bipartisan, introducing the End Crypto Corruption Act days before the expected vote added friction. Some GOP senators indicated they would consider amendments to address ethics, while others resisted changes they view as political.

While only a small fraction of Congress currently holds crypto, Reuters reports that just 13 lawmakers disclose any such holdings, the bill’s sweeping language could force divestitures and reshape how officials engage with digital assets. Passive investments such as index funds may be exempted, though bill language remains under review.

The proposal also draws support from outside groups. Virginia Canter, Anticorruption and Ethics Chief Counsel for Democracy Defenders Action, stated that novel financial products like stablecoins should not become vehicles for corruption. According to Merkley’s release, Public Citizen also endorsed the bill.

With the GENIUS Act vote scheduled for May 8, the introduction of the End Crypto Corruption Act adds fresh uncertainty to the Senate’s stablecoin debate.

Whether or not the ethics bill advances independently or attaches to pending legislation, the controversy over USD1’s rapid rise and the infamous TRUMP memecoin gala dinner have pushed conflict-of-interest concerns into the spotlight as digital asset regulation approaches a critical juncture.

The post Senate bill seeks to block presidential crypto gains amid TRUMP memecoin controversy appeared first on CryptoSlate.

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  • 15.10.25 18:07 crypto

    Cryptocurrency's digital realm presents many opportunities, but it also conceals complex frauds. It is quite painful to lose your cryptocurrency to scam. You can feel harassed and lost as a result. If you have been the victim of a cryptocurrency scam, this guide explains what to do ASAP. Following these procedures will help you avoid further issues or get your money back. Communication with Marie ([email protected] and WhatsApp: +1 7127594675) can make all the difference.

  • 15.10.25 21:52 harristhomas7376

    "In the crypto world, this is great news I want to share. Last year, I fell victim to a scam disguised as a safe investment option. I have invested in crypto trading platforms for about 10yrs thinking I was ensuring myself a retirement income, only to find that all my assets were either frozen, I believed my assets were secure — until I discovered that my BTC funds had been frozen and withdrawals were impossible. It was a devastating moment when I realized I had been scammed, and I thought my Bitcoin was gone forever, Everything changed when a close friend recommended the Capital Crypto Recover Service. Their professionalism, expertise, and dedication enabled me to recover my lost Bitcoin funds back — more than €560.000 DEM to my BTC wallet. What once felt impossible became a reality thanks to their support. If you have lost Bitcoin through scams, hacking, failed withdrawals, or similar challenges, don’t lose hope. I strongly recommend Capital Crypto Recover Service to anyone seeking a reliable and effective solution for recovering any wallet assets. They have a proven track record of successful reputation in recovering lost password assets for their clients and can help you navigate the process of recovering your funds. Don’t let scammers get away with your hard-earned money – contact Email: [email protected] Phone CALL/Text Number: +1 (336) 390-6684 Contact: [email protected] Website: https://recovercapital.wixsite.com/capital-crypto-rec-1

  • 15.10.25 21:52 harristhomas7376

    "In the crypto world, this is great news I want to share. Last year, I fell victim to a scam disguised as a safe investment option. I have invested in crypto trading platforms for about 10yrs thinking I was ensuring myself a retirement income, only to find that all my assets were either frozen, I believed my assets were secure — until I discovered that my BTC funds had been frozen and withdrawals were impossible. It was a devastating moment when I realized I had been scammed, and I thought my Bitcoin was gone forever, Everything changed when a close friend recommended the Capital Crypto Recover Service. Their professionalism, expertise, and dedication enabled me to recover my lost Bitcoin funds back — more than €560.000 DEM to my BTC wallet. What once felt impossible became a reality thanks to their support. If you have lost Bitcoin through scams, hacking, failed withdrawals, or similar challenges, don’t lose hope. I strongly recommend Capital Crypto Recover Service to anyone seeking a reliable and effective solution for recovering any wallet assets. They have a proven track record of successful reputation in recovering lost password assets for their clients and can help you navigate the process of recovering your funds. Don’t let scammers get away with your hard-earned money – contact Email: [email protected] Phone CALL/Text Number: +1 (336) 390-6684 Contact: [email protected] Website: https://recovercapital.wixsite.com/capital-crypto-rec-1

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