Trump-backed ethics rule bars federal officials from issuing tokens

A proposed ethics provision backed by former President Trump would prohibit federal officials from issuing cryptocurrencies while in office. The rule is part of the CLARITY Act, a digital asset market-structure bill now pending in Congress.

The Department of Justice is designated to enforce the provision. The bill's passage would mark a change in how federal officials interact with the crypto industry, addressing ethics concerns tied to Trump's own business interests in the space.

The CLARITY Act has not yet passed. Its fate in the current Congress will determine whether the ethics rule takes effect.