A new bill, HB1812, has been proposed in Pennsylvania aimed at prohibiting public officials and their families from engaging in activities related to cryptocurrencies. The initiative was introduced by Representative Ben Waxman, who emphasizes that such restrictions are necessary to combat corruption and avoid conflicts of interest among elected officials.
This is reported by Finway
Main Provisions of the Bill
The bill covers the launching, promoting, and trading of digital assets if a public official has a personal financial interest in them. In case of violations, strict penalties are provided — fines of up to $50,000 or imprisonment for up to five years. The law also includes amendments to Section 65 of the Pennsylvania Consolidated Statutes, prohibiting public officials and their close relatives from conducting “prohibited financial transactions” involving cryptocurrency exceeding $1,000. Additionally, officials will be required to divest all digital assets within 90 days after the law takes effect.
“The head of state and their family members could use their position to promote cryptocurrency projects and to reduce oversight of the digital asset market.”
Context and Further Initiatives
Ben Waxman, along with eight Democratic co-sponsors, emphasizes that the bill aligns with federal trends, particularly highlighting the actions of former U.S. President Donald Trump and the potential use of office for personal gain related to digital assets. Similar initiatives have already been discussed in other states and at the national level to enhance oversight of public officials’ ethics.
It is worth noting that this initiative has emerged amid discussions regarding potential investments by Pennsylvania in Bitcoin. Back in November 2024, Representative Mike Cabell proposed a bill that would allow the state treasurer to invest up to 10% of assets in this cryptocurrency. However, this document did not pass through the state House Financial Committee.
If HB1812 is enacted, clear legal frameworks will be established for all elected officials in Pennsylvania, which experts believe will contribute to strengthening the oversight of ethical standards among public officials.
It is important to remember that recently, in Algeria, Law No. 25-10 came into effect, which completely prohibits any activities related to cryptocurrencies, reflecting a global trend towards stricter regulation of this market.