Illinois’ Democrat Governor J.B. Pritzker signed two bills targeting the crypto sector into law on August 18, 2025, and while many think it could set back innovation a bit, it could have even more implications for his political ambitions.
More than the legislation the Illinois governor pushed through, what really rocked the boat was Pritzker’s pointed criticism of Donald Trump’s approach to regulating the crypto industry.
Pritzker’s statement could undermine his White House ambitions
Pritzker threw shade at US President Donald Trump for letting “crypto bros” guide policy on Monday as he signed two bills to regulate crypto in his state.
“While the Trump Administration is letting crypto bros write federal policy, Illinois is implementing common-sense protections for investors and consumers,” Pritzker wrote on X after approving the legislation.
The post highlights how divisive the government has become at the state level, especially where crypto policy is concerned. Some states, like Texas and Arizona, have embraced the industry while others, notably Democratic strongholds like Illinois, have taken a more cautious stance.
Pritzker’s derogatory use of the word “crypto bros” did not sit well with many who read the statement, and industry leaders quickly weighed in with their opinions, many of which were scathing.
Paul Grewal, the Chief Legal Officer of Coinbase, called the take “rather silly and uninformed,” while Faryar Shirzad, Chief Policy Officer at Coinbase, quoted the post with a comment that highlighted his confusion.
“I’m not sure I understand @GovPritzker,” he wrote before reminding the governor that 102 House Dems and 18 Senate Ds” played a role in the passage of the GENIUS Act, while “78 House Ds” supported CLARITY.
“And they did this to support bad bills written by crypto bros?” he wanted to know.
“The Democratic Party is making important strides to correct the mistakes of the ‘24 cycle. Adopting the Gary Gensler approach to crypto is bad policy and bad politics,” Shirzad concluded.
Stand With Crypto (SWC), America’s largest crypto advocacy group, also commented on the post. They reminded Pritzker that insulting “the millions of crypto voters on both sides of the political aisle” who want the US to be the crypto capital of the world is a “bold strategy” for someone with presidential ambitions.
Another user reflected the same sentiment, writing: “Pritzker wants to be president—he won’t get there using the same alienation tactics that lost us the presidency last time around.”
Which new laws did Illinois’ Pritzker pass?
The bills, the Digital Assets and Consumer Protection Act (SB 1797) and the Digital Asset Kiosk Act (SB 2319), that were signed into law, are supposed to enhance consumer protections in Illinois by regulating digital asset exchanges and cryptocurrency ATMs.
🚨 ILLINOIS has enacted the Virtual Currency Kiosk Consumer Protection Act.
The law requires bitcoin ATM operators to obtain Money Transmitter Licenses, implement transactions limits, and various 'anti-fraud' measures. https://t.co/WWqR8x7LMz pic.twitter.com/CndjeA6kAc
— Bitcoin Laws (@Bitcoin_Laws) August 19, 2025
The first bill, SB 1797, gives the Illinois Department of Financial and Professional Regulation authority to oversee digital asset exchanges and businesses, and passed the Illinois Senate in April.
The legislation will force crypto companies and exchanges to not only maintain adequate financial resources but also implement cybersecurity and anti-fraud measures, provide investment disclosures, and adhere to customer service standards that mirror those that exist in TradFi.
“At a time when fraudsters continue to evolve, and consumer protections are being eroded at the federal level, Illinois is sending a clear message that we won’t tolerate taking advantage of our people and their hard-earned assets,” Pritzker said.
The second bill, SB 2319, specifically targets cryptocurrency kiosks or ATMs and requires operators to register with state regulators, provide full refunds to scam victims, cap transaction fees at 18%, and limit daily transactions to $2,500 for new customers.
“The people of Illinois deserve reliable, consistent safeguards, no matter the financial service they utilize for their hard-earned money,” said Representative Edgar Gonzalez Jr. in defense of the laws.
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