The latest draft of the Clarity Act explicitly bars former President Donald Trump from launching or profiting from any crypto venture until 2029. The bill, which also blocks federal officials and their spouses from issuing digital assets, marks the first time a U.S. ethics law has targeted a specific individual by name. If enacted, the ban would run through the end of the decade — a period that covers the next presidential term and beyond.
Trump barred from crypto ventures until 2029
The provision is straightforward: no Trump-branded tokens, no NFT collections tied to his name, no advisory roles at crypto firms. The ban applies to Trump personally and extends to any entity he controls. Lawmakers inserted the language after Trump launched a series of digital collectibles in 2022 and later promoted a DeFi project. The draft doesn't name any other former president — it's written specifically to cover Trump, though the broader ethics rules apply to all covered officials.
Ethics ban covers spouses, expires in 2029
The bill doesn't stop at Trump. It prohibits any federal official — and their spouse — from issuing, promoting, or holding a material interest in a digital asset. The restriction is set to expire in 2029, the same year the Trump-specific ban lifts. That sunset clause gives the law a built-in review date. Critics say the expiration could let future administrations wade back into crypto without a permanent ethics wall. Supporters argue a decade is long enough to test the rules.
Non-custodial developers get a liability shield
One of the more technical pieces of the draft carves out protections for non-custodial software developers. If you write code for a decentralized exchange or a wallet that never holds user funds, you won't be treated as a money transmitter under the Clarity Act. The shield is narrow — it doesn't cover custodial services or projects that take control of assets. But for open-source developers, it's a clear line: write the tool, don't touch the money, and you're not on the hook for how others use it.
DOJ to enforce the Clarity Act alone
The draft gives the Department of Justice sole authority to enforce the law. That means no parallel enforcement from the SEC or CFTC on the ethics provisions — it's all DOJ. The agency can bring civil or criminal cases for violations. The single-enforcer model is meant to avoid the regulatory turf wars that have plagued other crypto bills. Whether the DOJ has the bandwidth to police digital-asset ethics is an open question. The department hasn't commented on the draft.
The Clarity Act's latest version is now public. Lawmakers are expected to mark it up in committee next month.
