Pennsylvania Crypto Bill HB1812 Seeks to Ban Public Officials from Profiting on Digital Assets

Highlights:

• The Pennsylvania crypto bill aims to stop public officials from profiting from digital assets while in office.
• The bill requires disclosure of holdings over $1000 and divestiture within 90 days after passage.
• Violations can lead to fines of up to $50000 or prison terms of up to five years under the proposed rules.

Pennsylvania Representative Ben Waxman introduced House Bill 1812 to block public officials from profiting through cryptocurrency while in office. The proposal, co-sponsored by eight Democrats, focuses on creating stronger ethical standards for leaders across the state.

🙅‍♂️ Pennsylvania lawmaker proposes banning state employees from trading cryptocurrencies. cointelegraph #regulation

— Cryptocurrency Inside (@Crypto_Inside_) August 22, 2025

The bill states that officials and their immediate family cannot make crypto transactions during their term and also for a year after. It specifies that such digital assets essentially consist of cryptocurrencies, non-fungible tokens, stablecoins, and other financial instruments, including derivatives and exchange-traded funds.

HB1812 also mandates elected officials to report any digital asset holdings surpassing $1,000. Officials who currently have such assets will have 90 days after the law comes into stay to divest them. The $1,000 amount is consistent with other types of financial disclosure requirements. Waxman argued that the bill is intended to renew public confidence. He stated that no one in the service of the state should use their office to enrich themselves using digital assets. The remarks reflect an increasing interest in how digital currencies can interact with political decision-making.

Federal Concerns and Pennsylvania Crypto Bill Debate

The Pennsylvania Crypto Bill arrives as national discussions on ethics and digital assets intensify. Waxman connected his proposal to former President Donald Trump’s involvement in cryptocurrency ventures. He claimed that Trump’s activities, including the promotion of a memecoin, show how political office could mix with private profit.

This concern has shaped similar debates in Washington. Lawmakers there have introduced bills that mirror parts of Pennsylvania’s approach. The Stop Presidential Profiteering on Digital Assets Act aims to prohibit the trading of crypto assets by people holding leadership positions in the federal government. Another plan, the COIN Act, will help avoid the possibility of a president, vice president, or members of Congress promoting or benefiting from digital assets during their time.

Lawmakers have also proposed the MEME Act, which specifically targets memecoins. These suggestions demonstrate bipartisan awareness of the possible conflict that can be generated by leaders investing in digital assets. Advocates claim that this prevents the influence and interference of privately owned institutions.

Today I’m introducing a bill – the MEME Act – to ban a President or Member of Congress from issuing a meme coin.

The Trump Coin is the biggest corruption scandal in the history of the White House. @RepLiccardo and I are determined to put an end to this corruption – for good. pic.twitter.com/nQL9ZfIYYV

— Chris Murphy 🟧 (@ChrisMurphyCT) May 6, 2025

Penalties and Next Steps for HB1812

The bill contains serious penalties to ensure adherence. Violations may impose civil fines up to $50,000. Severe crimes may also include felony charges with penitentiary up to five years imprisonment. The legislation includes a 60-day implementation period to allow time for compliance after passage.

HB1812 now moves to the State Government Committee for review. If it advances, the bill will go to the House, then to the Senate, before reaching Governor Josh Shapiro. Supporters see it as an important test of whether states can regulate the role of crypto in public service.

At the same time, Pennsylvania continues to encourage innovation in digital assets. Lawmakers previously introduced measures protecting residents’ right to self-custody and promoting the use of Bitcoin for payments. The state is now presented with the challenge of balancing between the development of the crypto industry and the strict boundaries of elected leaders.