A Democratic lawmaker in Pennsylvania has proposed a bill that would ban elected officials from profiting off cryptocurrency while in office.
Summary
- Pennsylvania lawmaker Ben Waxman introduced HB1812 to ban elected officials from profiting off cryptocurrency while in office.
- HB1812 would require lawmakers to divest their current holdings.
Democrat Ben Waxman from District 182, along with eight other Democratic co-sponsors, presented House Bill 1812 on Aug. 20 with the intention of prohibiting “elected officials from profiting off cryptocurrency while in office.”
HB1812 was drafted in reaction to what Waxman described as corruption at the federal level, pointing directly at President Donald Trump’s deepening involvement in cryptocurrency.
Waxman is of the opinion that Trump is using the White House to advance his financial agenda through ventures such as the Official Trump memecoin, while simultaneously shaping federal policies to “roll back federal oversight of crypto markets.”
In his words, no public servant should “enrich themselves through cryptocurrency schemes” while in office, a charge that underscores the broader Democratic criticism of Trump’s financial entanglements. Democrats argue that Trump’s crypto dealings blur ethical lines and open the door to conflicts of interest.
Trump and his family have tied themselves to several high-profile projects, from World Liberty Financial to multiple memecoin launches, ventures that critics say use his influence as president to lure investors. Allegations that the Official Trump token wiped out billions in investor money have amplified calls for state and federal guardrails.
Waxman and his co-sponsors argue that the bill is a necessary safeguard to protect the integrity of public office. They maintain that elected leaders must be held to a higher standard, especially in financial matters where personal profit could influence policymaking.
By singling out cryptocurrency, Waxman frames the industry as uniquely vulnerable to abuse, volatile, lightly regulated, and highly attractive to political figures who see an opportunity to capitalize on market hype.
What is HB1812?
If enacted, HB1812 would revise Title 65 of the Pennsylvania Consolidated Statutes. The measure would set strict rules barring public officials and their families from direct involvement in the cryptocurrency sector.
Key provisions in the bill include blocking officials from engaging in crypto-related financial transactions over $1,000 while serving in office and for a year after leaving.
Among other demands, they would be required to divest any existing holdings within 90 days of the law taking effect.
For any violations, lawmakers may be subject to fines of up to $50,000 and, in serious cases, prison terms of up to five years.
The bill now awaits consideration in the Pennsylvania House, where it must pass committee review before moving to a full floor vote.
Democrats pushback
Waxman’s language closely aligns with legislation that Democratic members of Congress have floated in Washington, including the Stop TRUMP in Crypto Act and the COIN Act. Those bills target similar practices, banning the president, vice president, lawmakers, and their families from issuing or promoting tokens while in office.
For months, Democrats have rallied against Trump’s crypto empire, which includes ventures like the MELANIA and Official Trump tokens, American Bitcoin mining operations, and stablecoin projects under World Liberty Financial.
Figures such as Rep. Maxine Waters have repeatedly charged that Trump’s activities amount to a “pay-to-play scheme,” warning that foreign actors could exploit these tokens that have ties to him.
Source link