Republicans have woven ethics restrictions into the Clarity Act that would give President Donald Trump one year to divest or blind-trust his digital-asset holdings, but Democrats say the provisions miss the one gap that matters most: his sons' businesses stay exempt. Trump's income from crypto-linked ventures rose by about $1.4 billion in his first year back in the White House, according to his financial disclosure forms, making the conflict-of-interest question concrete. The upper chamber is racing toward a monthlong August recess, and Senate Majority Leader John Thune has already acknowledged the bill may not reach the floor in time.
What the provisions require
The ethics package was drafted by Sens. Cynthia Lummis (R-Wyo.) and Bernie Moreno (R-Ohio) with White House sign-off. It bars federal officials from issuing or promoting their own digital tokens for profit. Officials would face a divestiture or blind trust deadline one year after enactment and would be required to disclose crypto sales.
Lummis has argued the point is durability, telling Fox News that the goal is rules that serve the House, the Senate, the judiciary, and the executive branch over time, rather than legislation designed around one sitting president.
The numbers that sharpen the dispute
Trump's income rose about 250 percent between 2024 and 2025, climbing from just over $620 million to about $2.2 billion, per his financial disclosure forms reviewed by Fox News Digital. The sources driving that jump include the $TRUMP memecoin, World Liberty Financial token sales, and Stablecoin Holdco. All three ventures are run by his sons, Don Jr. and Eric.
That last fact is where Democrats plant their flag. The current draft leaves those operations entirely outside its scope.
The counterargument, and what it misses
Moreno's answer to critics is procedural: the ethics section is a small fraction of a 600-plus-page bill, and Democrats who want stricter language should offer an amendment rather than block the broader legislation.
The Democratic case against that logic is structural. Enforcement falls solely to Acting Attorney General Todd Blanche, a Trump ally. The entire package sunsets January 20, 2029. Provisions that expire the moment their target leaves office, enforced by his own appointee, are a different thing from standing ethics law. Sen. Elizabeth Warren said directly that provisions which do not stop the president from profiting off crypto are not real restrictions. Sen. Cory Booker called the current draft "very obviously" partisan and said only bipartisan negotiation produces something that can pass.
On balance, the Clarity Act carries serious regulatory ambition as a framework for the digital-asset industry. Whether it clears the Senate hinges on whether enough Democrats accept that the ethics provisions, however limited, are workable. Thune, who had hoped to bring the bill to the floor next week, has conceded that timeline is now in doubt.