Trump Urges Congress to Pass Crypto Bill in Honor of Lindsey Graham

Former President Donald Trump on Monday urged the U.S. Senate to pass legislation known as the Clarity Act that would regulate cryptocurrencies, stating that such a move would honor the late Senator Lindsey Graham.

Trump made the call on the social media platform Truth Social, describing Graham as a "big supporter" of the bill. "Don’t let China win on either subject!!!" Trump also wrote, referencing competition with China in both the cryptocurrency and artificial intelligence sectors.

The Clarity Act represents one of the first wide-ranging legislative efforts to regulate the cryptocurrency industry and has garnered support from both industry players and the White House. However, the bill has encountered hurdles in the Senate, with Democrats advocating for stronger ethics safeguards for public officials, including Trump, who has reportedly amassed significant wealth through digital currencies.

The Senate Banking Committee advanced the bill in May with a 15-9 vote. Senator Graham was not a member of this committee and therefore did not cast a vote on its advancement. His recent death further complicates the bill's path forward, narrowing the Republican majority in the Senate.

Cryptocurrency firms such as Coinbase and Circle have backed the Clarity Act, seeking regulatory clarity to foster investor confidence. Conversely, banking institutions and some labor groups have expressed opposition, concerned that the bill could permit crypto entities to offer interest-bearing products, potentially drawing deposits away from traditional banks and reducing capital available for loans.