Illinois Governor Signs Sweeping Crypto Regulation Bills, Criticizes Trump’s “Crypto Bros” Agenda

Illinois Governor JB Pritzker pointed his fingers at President Donald Trump, calling him responsible for the degrading of the crypto laws in the United States after letting so-called "Crypto bros" write the federal policy.

This comes at a time when the United States remain divided on their crypto policy: while republican-led states such as Texas and Arizona has embraced the industry, Democratic states like Illinois has opted for tighter consumer safeguards

On Monday, Governor Pritzker approved the Digital Assets and Consumer Protection Act (SB 1797) and the Digital Asset Kiosk Act (SB 2319), marking a decisive move to regulate cryptocurrency exchanges and ATMs within Illinois.

On his X social media post, Governor Pritzker expressed his determination to enforce tighter regulations, saying

"Illinois won't sit idle while fraudsters run rampant."

New Laws Aim to Protect Consumers and Curb Scams

The Digital Assets and Consumer Protection Act grants the Illinois Department of Financial and Professional Regulation broad authority over crypto entities operating in the state.

The law mandates that exchanges maintain sufficient reserves, strengthen cybersecurity protocols, install robust anti-fraud measures, and provide transparent investment disclosures—requirements designed to align with standards in traditional financial services.

Meanwhile, the Digital Asset Kiosk Act imposes stringent rules on cryptocurrency ATM operators, requiring them to register with the state, issue prompt refunds to scam victims, cap transaction fees at 18%, and limit first-time customer transactions to $2,500 per day.

Representative Edgar Gonzalez Jr. praised the bill, noting it offers “reliable, consistent safeguards, no matter the financial service.”

These initiatives followed a year in which Illinois residents lost approximately $272 million to crypto scams, the fifth-highest loss nationwide according to the FBI.

Lawmakers point to this surge in fraud as a core reason for introducing strict new rules.

Continued Criticism of Trump’s Deregulatory Stance

Governor Pritzker and his administration have remained vocal critics of Trump’s crypto policies, contending that federal deregulation is exposing more Americans to scams.

Notably, officials highlighted Trump’s controversial April decision to revoke an IRS rule that would have classified decentralized finance platforms as "brokers" for tax purposes, further loosening oversight.

Unlike states led by Republican governors—such as Texas and Arizona—that have championed crypto-friendly policies to attract miners and exchanges, Illinois is positioning itself at the other end of the spectrum, prioritizing consumer protections over establishing itself as a crypto hub.

Earlier this year, Illinois lawmakers swiftly rejected the House Bill 1844, which would have created a strategic Bitcoin reserve within the state treasury.

The bill failed in committee, signaling little appetite for bullish public sector crypto exposure. In April, Illinois also dropped its lawsuit against Coinbase over its staking program, mirroring similar moves by other states.

With this legislative package, Illinois is drawing a sharp contrast to national moves toward deregulation, asserting itself as a leader in protective and transparent digital asset oversight.