📢 White House defends Trump's crypto ties amid Clarity Act stalemate
White House crypto advisor Patrick Witt issued a sharp statement defending President Donald Trump against accusations that his personal interests in the industry caused the Digital Asset Market Clarity Act to be blocked in the Senate.
Statements:
Unprecedented concessions: According to Witt, Trump made historic compromises on ethics issues. The President agreed to terms that would have forced him to sell his crypto assets or place them in a "blind trust." Furthermore, the administration was willing to allow state attorneys general to sue the federal government for failing to police ethics violations.
Hypocrisy in the Senate: The advisor called the Democrats' position politicized, using Trump's ties as a political weapon. He highlighted the irony of senators on banking committees accusing the president of a conflict of interest while actively trading stocks of the very financial companies they regulate.
Hidden factor (Banking lobby): Beyond politics, strong resistance came from the traditional financial sector. Major banks feared competition from stablecoins — in their view, yield-bearing digital asset programs could trigger a massive outflow of deposits. Witt called these fears "entirely hypothetical and speculative."
Shift in regulatory focus: Witt noted that the chances of advancing the bill before the end of the year during the "lame duck" session are practically exhausted. Due to this stalemate, the primary power and authority in shaping rules for the crypto market now shift to federal agencies — the SEC and CFTC.
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