Trump’s Crypto Earnings Emerge As Biggest Roadblock For Digital Asset Bill

President Trump’s substantial $1.4 billion crypto earnings have become the central obstacle to passing the Clarity Act, as Senate Democrats push for stronger ethics language preventing the president from profiting off an industry his own administration regulates.

Ethics Provisions Spark Democratic Pushback

Senate Republicans released a new proposal this week aimed at breaking the legislative deadlock, but Democrats quickly rejected the terms, arguing it would not stop Trump or his family from continuing to benefit from crypto ventures. Senator Angela Alsobrooks called ethics the linchpin of the negotiations, while critics noted the draft would let Trump move his crypto stake into a blind trust rather than requiring a full sale.

Other Sticking Points Remain Unresolved

Beyond ethics, banks are pushing back against stablecoin reward provisions, with some Republicans considering safeguards to protect deposit levels. Senate Majority Leader John Thune said he doesn’t expect the bill to pass before August recess. Prediction markets now show roughly a one in three chance of passage this year, down sharply from earlier estimates.

Lummis, a key architect of the bill, said on X;