# Democrats: CLARITY Act Draft Allows Trump to Profit From Crypto Senate Democrats claim the bill leaves five ethics loopholes. - **Source:** [Bitcoin News](https://brifing.si/source/d8aeaf1e-9839-4dad-9d25-7a6bf3fbeef8) - **Published:** 2026-07-23 - **Original article:** - **On Brifing:** https://brifing.si/s/16ac18a9-fbf0-4687-a7ae-f4a2a745a013 ## Democrats' Claims Senate Democrats argue that the CLARITY Act draft fails to prevent President Trump from profiting from crypto assets. They identify five legal loopholes, ranging from existing businesses to personal investments, which could enable continued financial gains. ## Existing Businesses and New Ventures Democrats say the draft doesn't stop Trump from earning crypto income through intermediaries. New ventures launched by associates also remain outside the bill's scope, potentially allowing ethical violations to persist unchecked. ## Memecoin Revenue The $TRUMP memecoin is seen as a major loophole. The bill doesn't restrict digital assets using Trump's name or likeness, preserving what Democrats call an existing revenue stream tied to his public image. ## Personal Investments The draft doesn't prohibit Trump from holding or trading crypto assets while making policy decisions. Democrats warn this creates conflicts of interest when presidential actions could affect asset values. ## Republican Defense Republicans counter that the bill imposes the strongest federal ethics rules yet for digital assets. They highlight clearer market rules, consumer protections, and tools to combat illicit finance as key improvements over current regulations. ## Enforcement Concerns Democrats claim enforcement mechanisms would be ineffective during Trump's presidency, with exclusive DOJ authority blocking state actions. A sunset clause could also prevent future accountability, casting doubt on the bill's Senate prospects. ## Sources covering this story - https://news.bitcoin.com/clarity-act-draft-gives-trump-5-ways-to-keep-profiting-from-crypto-democrats-say/ — --- _Summary written by Brifing from the original reporting. Copyright in the original article belongs to its publisher; read the full piece at the link above._