U.S. Congressman Ro Khanna Pushes Bill to Ban Elected Officials from Owning or Creating Cryptocurrency

In a headline-grabbing move that’s sparking fierce debate in Washington and the crypto world alike, U.S. Congressman Ro Khanna has introduced a bill to ban elected officials from owning or creating cryptocurrencies. The Ro Khanna bill to ban elected officials from crypto ownership comes amid growing scrutiny over financial conflicts of interest in digital assets and seeks to reinforce ethical transparency within government.

According to early reports, the proposed legislation would make it illegal for the President, Vice President, Cabinet members, or members of Congress to personally own, trade, or create cryptocurrencies. It would also prevent these officials from participating in foreign-backed crypto ventures or holding stakes in blockchain startups that could be influenced by federal policy decisions.

Khanna, a Democrat representing California’s 17th District and a long-time advocate for tech regulation, said the measure is about “restoring public trust.” In his words, “We should ban any elected official from having cryptocurrency and accepting foreign money.” His bill banning the President and lawmakers from creating cryptocurrencies is designed to eliminate potential corruption and ensure impartial decision-making on crypto regulation.

Why the “Khanna Crypto Ethics Bill” Matters

The US legislation stating that elected officials cannot own cryptocurrency comes at a time when crypto’s influence in Washington has never been greater. Recent years have seen an influx of digital-asset lobbying, campaign donations, and even exploratory blockchain projects tied to public agencies. Critics warn that without clear restrictions, policymakers could profit from the same assets they regulate.

Khanna’s proposal draws inspiration from existing laws that limit officials’ stock trades but expands that logic into the digital asset ecosystem. It calls for new disclosure requirements to require elected officials to disclose all digital asset holdings, ensuring full transparency around crypto-related interests.

Analysts note that this Rep. Ro Khanna legislation banning crypto trading by Congress members could serve as a model for similar reforms in other countries. However, the measure also faces constitutional and practical hurdles—critics argue that a total ban on crypto ownership by government officials might infringe upon property rights and economic freedoms.

Industry and Political Reaction

Reactions have been sharply divided. Ethics watchdog groups praised the proposal as a “necessary modernization” of government accountability. They argue that as the crypto market continues to grow, politicians should be held to a higher standard of neutrality.

On the other hand, some lawmakers and industry figures criticized the bill as an overreach. Libertarian-leaning voices contend that banning public officials from crypto ownership could deter younger, tech-savvy leaders from public service. Others argue that stronger transparency laws, not outright bans, would be a fairer solution.

Khanna’s announcement follows recent controversies surrounding high-profile officials rumored to have indirect crypto exposure. The Khanna bill to prevent conflicts of interest in digital assets aims to prevent even the perception of impropriety particularly in cases where government decisions could impact crypto markets or token valuations.

The Road Ahead for Khanna’s Crypto Reform

The bill is still in draft form, with details expected to emerge in upcoming weeks. Before becoming law, it would need to pass committee review, gain bipartisan support, and survive Senate scrutiny. While its success remains uncertain, the proposal has already injected new urgency into Washington’s broader debate over crypto ethics and regulation.

If enacted, the US bill to ban lawmakers and the President from holding crypto could reshape how political leaders engage with blockchain and fintech innovation. It might also prompt fresh discussions on campaign finance reform, digital asset taxation, and the separation of politics from personal profit in an increasingly digital economy.

Frequently Asked Questions (FAQs)

Q1: What does Rep. Ro Khanna’s bill actually propose?
It bans the President, Vice President, Cabinet members, and members of Congress from owning, trading, or creating cryptocurrencies, while introducing strict disclosure rules for digital asset holdings.

Q2: Why did Ro Khanna introduce this crypto ownership ban?
Khanna says it’s about preventing corruption and conflicts of interest. With lawmakers increasingly involved in digital policy, he wants to ensure decisions are made for the public good not personal gain.

Q3: Will this bill affect regular crypto investors?
No. The legislation only targets elected officials and their immediate families. Everyday investors would not be impacted.

Q4: Could this proposal face legal challenges?
Yes. Some critics argue that it could violate constitutional rights related to property ownership and economic freedom.

Q5: How does this differ from existing stock-trading bans for Congress members?
The Khanna crypto ownership ban bill expands the concept to include all digital assets covering cryptocurrencies, NFTs, and tokenized securities.

Q6: What happens next?
The bill will enter committee review and may undergo revisions. If passed, it would become a landmark law redefining financial ethics in the digital age.