STABLE GENIUS Act

Increased Accountability through Blind Trusts: Under Section 2(c), covered individuals must place digital asset investments into a qualified blind trust. This requires the trustee to divest the assets within six months and ensures the individual does not receive information about the trust's assets or transactions, which may prevent conflicts of interest.

Public Transparency: According to Section 2(d)(1), supervising ethics offices are required to make copies of qualified blind trust agreements available on a public website, allowing the public to monitor compliance.

Financial Deterrents for Misconduct: The bill includes civil penalties in Section 2(f), such as fines of up to $250,000 and the requirement to disgorge profits to the U.S. Treasury. Additionally, Section 2(g) establishes criminal penalties, including potential prison time of up to 18 years, to discourage illegal financial transactions.

Restrictions on Financial Activity: Under Section 2(b), covered individuals are prohibited from engaging in many financial transactions involving digital assets from the time they file as a candidate through their term of service and for one year after their service ends. This limits how they can manage their personal wealth.

Strict Requirements for Blind Trusts: Section 2(c)(2) mandates that a qualified blind trust must have a trustee who does not have a close personal or business relationship with the covered individual, which may create administrative burdens for the official.

Legal Risks and Liability: Section 2(e) states that any conduct related to a prohibited financial transaction will be deemed an unofficial act and outside the scope of official duties, which affects legal immunities. Furthermore, Section 2(g) outlines severe criminal penalties if a violation causes an aggregate loss of at least $1,000,000 or provides financial benefit to a family member or business associate.