A recent survey exposes public unease regarding President Trump’s financial activities in cryptocurrency as his administration implements regulations, sparking ethical and legal dilemmas.
WASHINGTON —
On Wednesday, President Trump engaged with leaders from the cryptocurrency and prediction market sectors at the White House as his administration seeks to lay down regulations for the burgeoning field amid criticism of his family’s financial success derived from it.
A polling result from Reuters/Ipsos released today reveals that nearly two-thirds of Americans disapprove of Trump and his family’s ability to benefit financially from cryptocurrency during his tenure, including 30% of Republican respondents.
Inside the Oval Office, Trump emphasized the necessity of establishing transparent guidelines for the sector.
“We’re dedicated to formulating a clear regulatory framework that aids innovators and creators like those present here,” Trump stated.
Documents from the White House indicate that Trump generated almost $1.5 billion from cryptocurrency investments last year, which includes $800 million from World Liberty Financial and $635 million from Trump Meme Coin. Notably, just five days prior, a federal agency provisionally approved World Liberty Financial to launch a national trust bank.
Richard Painter, who served as the chief ethics lawyer under President George W. Bush, voiced worries about the intersection of the president’s official responsibilities and personal financial interests.
“A conflict of interest is evident when the U.S. president possesses significant investments in a sector under executive branch regulation,” Painter remarked.
Painter elaborated that federal conflict of interest regulations impact everyone in the executive branch except the president and vice president, offering two suggestions for Trump to alleviate the situation.
“He could either divest himself and his family from the cryptocurrency sector or delegate all cryptocurrency-related decisions within the White House to others,” Painter explained.
In response, the White House asserted that “there are no conflicts of interest,” clarifying that Trump’s investments are handled by independent entities, and that he “only acts in the best interest of the American people.” Trump has previously stated that he does not engage in the daily business activities of his family.
During the gathering, Trump encouraged Congress to approve the Clarity Act, aimed at establishing a more comprehensive regulatory structure for digital assets. He also pointed out his administration’s “Project Crypto” initiative, aimed at updating financial regulations for blockchain technologies.
In a separate matter, reports indicate that Gabriel Perez, Trump’s long-time teleprompter operator, is under investigation by the Commodity Futures Trading Commission for potential insider trading related to the prediction market Kalshi. Investigators are looking into claims that Perez exploited advanced knowledge of presidential speeches for trading. He has since been placed on unpaid leave and is no longer part of the federal workforce.
Earlier this year, the administration cautioned staff that utilizing confidential government information for trading on prediction markets could lead to criminal charges.
The White House has not addressed inquiries regarding whether Trump has stepped back from cryptocurrency policy decisions due to his family’s financial interests.