Trump Accepts Crypto Limits, But Democrats Say Rules Are Too Weak

A new US crypto bill would restrict President Trump's crypto business, but Democrats say the limits have too many loopholes.

A major fight is happening in the US Senate over new crypto rules — and President Donald Trump is right at the center of it.

Lawmakers are working on a bill called the Clarity Act (a proposed law that would set official rules for the cryptocurrency industry in the US). One part of the bill is causing a big argument: whether it should limit the president's own crypto business dealings.

Why does this matter? Trump has made a lot of money from crypto. In 2025 alone, he reportedly earned over $1.4 billion from crypto ventures. Democrats (one of the two main US political parties) wanted rules to stop a sitting president from profiting this way.

Surprisingly, Trump agreed to accept *some* limits. The White House says this is a huge win — no president has ever agreed to restrictions like this before. But Democrats say the rules are too weak.

Here's what the proposed rules would do:

Temporarily ban senior officials (the president, vice president, members of Congress, and judges) from creating or officially backing their own cryptocurrencies
Excuse past activity — so Trump likely won't have to give up his existing crypto business, like his stake in World Liberty Financial
Give enforcement power only to the Department of Justice (the US government's legal enforcement agency), with fines capped at $500,000
Expire in early 2029

The Democrats' complaint: The Justice Department is led by Trump's own appointees — including a former personal lawyer. Critics argue they won't seriously enforce rules against their own boss. Democrats want state attorneys general (top state legal officials) to have enforcement power instead, so Trump's team can't block it.

Senator Elizabeth Warren blasted the bill, saying it does "nothing" to stop Trump from earning another $1.4 billion.

The clock is ticking. Senate leader John Thune said it's unlikely the bill will pass before the summer break. Missing that deadline could reduce the chances of it becoming law in 2026.

Bottom line: Crypto industry supporters warn that if the bill fails, the US will be left with *no* clear crypto rules at all — no consumer protections and no ethics standards for leaders.

This is an AI-generated summary. Read the original article at: https://www.coindesk.com/policy/2026/07/24/senate-dems-should-accept-the-victory-they-won-on-trump-s-crypto-limits-white-house