DDA Slams House of Representatives Following Passage of Crypto Legislation Without Key Ethics Provisions
July 17, 2025
WASHINGTON D.C. — Following the passage of the Guiding and Establishing National Innovation for U.S. Stablecoins Act, or the GENIUS Act, and the Digital Asset Market Clarity (CLARITY) Act in the House, Democracy Defenders Action released the following statement:
“Today, the House passed the GENIUS Act and the CLARITY Act, two bills that threaten not only fairness and safety in digital asset markets, but also the very integrity of our democracy. Lawmakers failed to address glaring ethical concerns related to the President’s conflicts of interest, and instead rubber stamped his corruption, allowing him to put our financial markets, our national security, and, ultimately, our democracy at risk in his pursuit of personal profit.”
“It is shameful that Congress failed to defend democracy. Instead of protecting the public from greed and rampant speculation, lawmakers have chosen to greenlight corruption, undermining the principles of fairness and accountability that democracy demands.
“Democracy Defenders Action calls on the Senate to include strong anti-corruption provisions in its version of the CLARITY Act. The American people deserve fair and equitable markets, overseen by a government that works for them—not one that enables corruption from the highest office in the land. Unfortunately, these bills will further undermine Americans’ confidence that public officials are serving them instead of enriching themselves.”
The GENIUS Act grants the President unprecedented authority to regulate stablecoins while owning a stake in a company that issues one. Without safeguards against corruption, this bill creates a blatant conflict of interest. By passing it, lawmakers have empowered a president who is financially invested in the very industry he regulates, undermining public trust and eroding regulatory integrity.
Similarly, the CLARITY Act claims to create a regulatory structure for many digital assets, but fails to address how the President’s private interests in the industry might undermine this goal. This creates a facade of fair regulation while ultimately allowing Trump the power to advantage his businesses and harm his competitors.
In April, Democracy Defenders Fund released a report, Trump’s Crypto Conflicts of Interest, which details Donald Trump’s extensive entanglements with the cryptocurrency industry and how they pose serious risks to our nation’s democratic institutions and public trust.
Democracy Defenders Action brings together a nonpartisan team to work with national, state, and local allies across the country committed to upholding the rule of law, fighting against autocracy and defending the Constitution.
