Trump Agrees to Stricter Ethics Provisions in Clarity Act Ahead of Key Vote

U.S. President Donald Trump has agreed to stricter ethics provisions in the Digital Asset Market Clarity Act, paving the way for its first cloture vote on Tuesday. The provision bars senior government officials from issuing their own digital assets and forces divestiture of crypto interests.

The revised bill includes a new section that explicitly prohibits covered individuals, including the President and other senior officials, from maintaining a significant financial interest in any digital asset, sponsoring one, or otherwise engaging in related activities. This provision is a major concession to Democrats, who had previously expressed concerns about the ethics language in earlier drafts.

The revised bill also includes civil penalties for issuers and allows state attorneys general to bring lawsuits to enforce the ethics provision. Additionally, it removes a previous sunset provision that would have expired enforcement of the law after a certain period.

The new language requires covered individuals to divest their significant financial interests or place them in a qualified blind trust within three days of notification to the appropriate ethics office. The divestiture will be treated as a sale, and crypto exchanges are barred from listing digital assets issued by covered individuals.