A digital asset market structure bill dubbed the Clarity Act unveiled by U.S. Senate Republicans includes an ethics provision that would ban all federal officials, including the president, from issuing or sponsoring tokens until 2029.

Cointelegraph, a blockchain media outlet, reported on Tuesday that the provision would also apply to U.S. President Donald Trump.

The 616-page draft would bar public officeholders, federal officials and their spouses from issuing or sponsoring digital assets. It also includes restrictions that would prevent cryptocurrency platforms from listing assets issued or sponsored by federal officials. The White House described the provision as the most comprehensive and far-reaching ethics rule in history.

The ban is not permanent. Under the bill, it would expire on Jan. 20, 2029, which is the last day of Trump’s second term. Trump has faced claims that he earned more than $1.4 billion through his cryptocurrency business in 2025.

Enforcement would be handled by the U.S. Justice Department, not state governments. The attorney general is designated as the core enforcement authority, but some Democrats are pushing back. Senator Angela Alsobrooks (앤젤라 올스브룩스) said in a Politico interview, "If the bill is worded that way, I will not support it," and said she would continue talks until reaching an agreement that holds everyone accountable.

Prospects for a Senate vote remain uncertain. The Clarity Act could go back through the House after a Senate vote and then go to Trump, but passage in the Senate requires cooperation from some Democrats. That is because Democratic support is essential to clear the 60-vote threshold in the Senate. Democrats have signalled they will not support related legislation without strong ethics provisions to address what they call the president’s cryptocurrency corruption issue.

The ban, however, does not appear to include the children of public officials. Trump’s three sons are co-founders of the family’s cryptocurrency business World Liberty Financial (WLFI), and two of them also took part in launching bitcoin mining company American Bitcoin (ABTC). The narrower family scope compared with the official and spouse could become another point of contention.

Senator Cynthia Lummis (신시아 루미스), speaking on behalf of the U.S. Senate Banking Committee’s digital assets subcommittee, said, "This bill applies a single ethical standard to everyone, including the U.S. president," and said it includes provisions on actual enforcement and penalties as well as an obligation for Justice Department action.

The draft also includes market structure provisions beyond the ethics clause. Christine Smith (크리스틴 스미스), head of the Solana Policy Institute, said of the Senate version, "Ethics is not the only issue," and assessed that it added disclosure frameworks, illicit finance provisions and improvements to spot market regulatory reform. She added there is a real opportunity to pass a bipartisan market structure bill.

Senate Majority Leader John Thune was reported to be pushing to bring the bill to the floor next week regardless of whether he secures Democratic support. The Clarity Act is set to face another test during Senate review over the strength of its ethics rules, the enforcement authority, the scope of family coverage and whether it can secure bipartisan support.