Illinois Governor Slams Trump’s Crypto Regulation

The crypto regulation in the US has sparked controversy, with Illinois Governor criticizing President Donald Trump for his approach to digital assets. Accusing Trump of actively deregulating the digital asset industry, Illinois Governor JB Pritzker has signed two landmark bills to tackle growing scams and fraud.

Illinois Governor Signs New Cryptocurrency Bills

In a bold move to protect investors, the Illinois Governor has introduced two bills that prioritize consumer protection. The new laws include the Digital Assets and Consumer Protection Act (SB 1797) and the Digital Asset Kiosk Act (SB 2319). While SB 1797 establishes regulatory oversight of digital asset exchanges and businesses, SB 2319 focuses on protecting consumers against illegal activities.

Significantly, these laws are implemented in response to the rising scams in the US State. As per the FBI reports, Illinois consumers have lost about $272 million to crypto hacks in 2024 alone. This has made it the fifth-highest state nationwide for virtual asset hack losses. It is noteworthy that this move follows the US's recent passage of the controversial GENIUS Act .

• SB 1797 : This bill allows the Department of Financial and Professional Regulation (IDFPR) to oversee cryptocurrency exchanges and businesses, establishing strong customer protections akin to those in traditional financial services. It mandates investment disclosures, customer asset safeguards, and customer service standards, ensuring transparency and accountability. The bill also necessitates companies to maintain adequate financial resources to implement policies and mitigate critical risks.

• SB 2319 : This bill focuses especially on cryptocurrency kiosk operators, introducing new cryptocurrency regulation. The regulatory move requires kiosks to register with the IDFPR and provide reports detailing locations. According to this rule, operators are responsible for providing full refunds to new customers who fall victim to kiosk scams. Also, the legislation caps transaction fees at 18% and limits daily transactions to $2,500 for new customers.

Donald Trump Faces Criticism

Notably, the Governor criticizes Donald Trump for his crypto regulation moves, asserting that he allows “crypto bros” to guide policy. Contrasting the US State’s new policies with Trump’s crypto regulation efforts, Pritzker stated,

“These initiatives modernize consumer protection and implement safeguards for all Illinoisans who choose digital asset services. This is a monumental victory that prioritizes the safety and security of the people of Illinois, while also paving the way for a more transparent and accessible marketplace.”

Moreover, Pritzker added that Trump’s crypto regulation is making consumers more vulnerable to scams. Questioning his regulatory approach, the governor asserted that the government has “deregulated" the cryptocurrency industry.