Pennsylvania is taking a significant step towards curbing potential financial conflicts of interest for its public officials. A new bill has been introduced in the state legislature that aims to prevent elected representatives and their immediate families from profiting from cryptocurrency activities while in office. This bold move reflects growing concerns over the ethical implications of public servants engaging in speculative digital asset markets.
Proposed Ban on Crypto Trading for Public Officials
Pennsylvania State Representative Ben Waxman, representing District 182, has spearheaded the introduction of HB1812. This legislation explicitly seeks to ban elected officials from benefiting financially from cryptocurrencies during their tenure. The proposed prohibition is comprehensive, extending to launching, promoting, or trading any digital assets in which officials or their direct family members hold a personal financial interest. The motivation behind this bill stems from allegations of corruption at the federal level, specifically referencing claims that figures like former President Donald Trump have financially benefited from crypto projects and potentially influenced policy to shield these markets from scrutiny.
Strict Regulations and Enforcement
If enacted, Representative Waxman's bill would amend Title 65 of the Pennsylvania Consolidated Statutes, establishing clear boundaries for public officials. It would prohibit "prohibited financial transactions" involving over $1,000 in crypto assets, with the ban extending for a full year after an official leaves office. Furthermore, affected individuals would be required to divest their existing crypto holdings within 90 days of the law's implementation. The legislation proposes significant penalties for non-compliance, including fines of up to $50,000 and, for more severe violations, potential imprisonment for up to five years. This initiative mirrors similar efforts at the federal level, indicating a broader trend towards greater transparency and accountability for public servants in the evolving digital finance landscape.
