Representative Ro Khanna Proposes Bill Banning Politician Stock and Crypto Trading

Rep. Ro Khanna (D-Calif.) has introduced legislation to ban trading of stocks and cryptocurrencies by the president, their family, members of Congress, and all elected officials.

The bill prohibits owning, creating, or trading cryptocurrencies and stocks for elected officials.
The announcement is expected on October 28.
Khanna describes this as a response to "blatant corruption."

Background:

Changpeng Zhao, former Binance CEO, was convicted of money laundering in 2023, settling with the DOJ for $4.3 billion, served four months in prison, and received a pardon from President Trump.
Khanna accuses Zhao of supporting World Liberty, allegedly linked to the president's son's cryptocurrency firm.
The Ban Congressional Stock Trading Act, proposed earlier by Khanna in 2023, stalled in committee.

Policy Implications:

President Trump invests significantly in crypto, which may influence future regulatory environments.
A decision on the next Federal Reserve Chair, affecting digital asset regulations, is expected by year-end.
Trump's GENIUS Act establishes a U.S. stablecoin regulatory framework with full reserve backing and Fed support.

Khanna anticipates bipartisan support for the new proposal, aiming to address controversial trading practices among politicians.