Illinois Governor JB Pritzker has signed two historic bills aimed at improving consumer protection for digital assets, criticizing the Trump administration approach as too permissive. The law on digital assets and consumer protection (SB1797) and the law on digital asset kiosk (SB2319) mark the first complete regulatory framework of the state level level for cryptocurrency in the Midwest, while fraud and scams involving digital assets continue to increase. According to the FBI, Illinois residents lost $ 272 million against fraud linked to crypto in 2024, the highest amount of the country for this year (2).
Under new laws, the Illinois financial and professional regulation Department (IDFPR) will obtain the power to regulate exchanges and digital asset companies, ensuring that they maintain enough financial resources and implement solid cybersecurity and anti-fraud measures. Legislation aligns regulatory requirements with those of traditional financial services, including compulsory investment disclosure and customer service standards (2). Governor Pritzker stressed that these measures are a necessary response to the lack of federal surveillance, noting that the Trump administration has “actively dislocated the cryptographic industry at a time when consumers risk more and more fraud”. This includes the abrogation of a revised IRS rule which has expanded the definition of a broker to include exchanges of decentralized cryptography (3).
The law on digital asset kiosk (SB2319) requires specific guarantees to kiosks or ATMs for digital assets. These include compulsory recording with IDFPR, a ceiling of 18% on transaction costs and a daily transaction limit of $ 2,500 for new users. The law also obliges complete reimbursements for victims of scams in kiosks, a measure intended to mitigate the financial loss for novice users. According to the representative Edgar Gonzalez Jr., the legislation guarantees that the residents of Illinois receive “reliable and coherent guarantees, whatever the financial service they use for their harshly won money” (3).
The implementation of these measures is part of a broader national divergence of cryptographic policy. While states like Texas and Arizona have adopted cryptographic user -friendly approaches, Illinois opted for a prudent position, prioritizing consumer protection compared to the rapid growth of industry. Governor Pritzker criticized the influence of “crypto-bros” on federal policy, saying that Illinois “implements common sense protections for investors and consumers” (3). Legislation includes technological development exemptions to support innovation while maintaining regulatory guardrail. Illinois digital asset companies have until July 1, 2027 to register with the IDFPR (2).
Illinois legislators stressed the importance of these reforms by promoting public confidence in the digital asset market. Senator Mark Walker stressed that the bill “focuses on the protection of consumer and investors, while supporting companies working in cryptographic space” and that it aims to “keep bad players out of the market and ensure that Illinois remains a leader in high -tech innovation” (2). The Governor’s office has also criticized Trump’s regulatory withdrawals, noting that federal legislation has been strongly influenced by industry lobbying efforts rather than the interests of consumers.
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(1) Title1 (URL1)
(2) Governor Pritzker signs historical legislation to protect consumers … (https://gov-prizker-newsroom.prezly.com/gov-pritzker-signs-historic-legislation—protect-consumers-from-critocruraly-cams)
(3) The Governor of Illinois explodes Trump’s `Crypto Bros’ ‘` Crypto Bros’ in the new bill … (
