Illinois
Passage of two bills would undermine growing tech ecosystem in Illinois | Opinion
Experts, senator warn of Trump’s push to profit from presidency
Trump has blurred traditional lines, seeking personal wealth through crypto, real estate, Truth Social and branded merchandise during his presidency.
Last month, the Illinois General Assembly advanced a sweeping bill that could severely undermine the state’s growing tech ecosystem.
The Digital Assets and Consumer Protection Act (DACPA), while framed as consumer protection, would impose burdensome licensing requirements and broad regulatory authority over hundreds of Illinois startups innovating in blockchain and cryptocurrency.
If signed into law, DACPA would task the Illinois Department of Financial and Professional Regulation (IDFPR) with overseeing one of the most complex and fast-moving sectors in the world.
But IDFPR is still in the midst of modernizing its own processes, relying primarily on paper applications and, just last year, described its own delays as a “crisis.” While IDFPR has launched a new online system, only a handful of the 300+ licenses it oversees have been converted—and full rollout is expected to take more than two years. It’s not feasible to expect the agency will be ready to regulate a cutting-edge, highly technical industry within the year.
Let’s be clear: the blockchain and crypto community supports smart, targeted regulation that protects consumers and holds bad actors accountable. But DACPA misses the mark on several fronts.
First, it gives Illinois consumers a false sense of security. Most crypto scams originate offshore, far beyond the reach of state regulations. DACPA would do little to deter those bad actors—but it would impose significant costs and compliance burdens on legitimate Illinois-based startups who are building real-world tools using blockchain.
Second, the bill’s scope is overly broad. It doesn’t just target centralized exchanges or companies holding crypto on behalf of users, but also attempts to govern students, developers, and entrepreneurs experimenting with decentralized technologies that never interact with consumer funds. This could create a two-tier system where only large, wealthy companies can afford to navigate the complex licensing regime.
That runs contrary to Illinois’ values of equity and opportunity.
Importantly, many of these companies are already subject to extensive oversight. Illinois crypto firms may hold a Money Transmitter License or operate under existing state and federal regulation through agencies like the SEC, CFTC, and DOJ. DACPA introduces new layers of confusion and cost without clear benefit—exactly the kind of regulatory overreach that drives innovation out of state.
We’ve seen this play out before. New York implemented a similar system—the BitLicense—in 2015, approving just over 30 licenses since then. Many crypto companies have opted to geoblock New York residents altogether, stifling access and thwarting innovation. Illinois’ proposed regime is even broader in scope, which means the consequences here could be even more severe.
Now is not the time to over-regulate. With tech companies increasingly reshoring, Illinois should be rolling out the welcome mat—not standing up new barriers. The state has a chance to become a leader in responsible blockchain development, but only if it creates a regulatory framework that is clear, functional, and appropriately scaled to the risk.
Until that happens, lawmakers should reconsider Senate Bill 1797 and House Bill 742.
Katherine Kirkpatrick Bos is board member of the Illinois Blockchain Association and General Counsel of StarkWare, the developer of a cryptographic zero-knowledge proof system that seeks to improve scalability in blockchains. Prior to StarkWare, she was Chief Legal Officer of CBOE Digital, a U.S. regulated exchange and clearinghouse for spot crypto and crypto derivatives markets; and General Counsel of Maple Finance, a capital-efficient corporate debt marketplace which facilitates crypto institutional borrowing via liquidity pools funded by the DeFi ecosystem. She lives in Winnetka.
Illinois will get $1.1 million of a $45 million, 45-state settlement with money transfer app Cash App’s parent company, which was accused of misleading customers about the app’s security.
Block Inc. will face $55 million in civil penalties and also have to pay customers nationwide somewhere from $75 million to $120 million as part of the settlement, which includes the Consumer Financial Protection Bureau.
In a statement, Illinois Attorney General Kwame Raoul said the settlement holds the company accountable and requires it to “change its harmful practices.”
“Block told Cash App users their money was safe and falsely implied that the app worked like a bank, with the same protections,” Raoul said. “Block was aware that fraud on its platform was rising sharply and failed to warn users, strengthen protections or provide real help to users when things went wrong.”
A company spokesperson confirmed the settlement and said the company has made “significant investments in consumer protection, customer service, and compliance.”
“We share the commitment of the attorneys general to addressing industry challenges and continue to invest in operations and technology to promote a safe and healthy financial ecosystem,” the spokesperson said in a statement provided to the Sun-Times Wednesday night.
The lawsuit accused the company of not preventing fraud, and even of having systems that made it easier to commit that fraud. Minimal identity verification allowed someone to create fake or multiple accounts, and the company had no phone support line. Instead, customers who had been defrauded often were provided by those fraudsters with fake online customer support phone numbers, the suit alleged.
As part of the agreement, the company must offer at least 13.5 hours of human-staffed phone lines per day as part of 24-hour support, as well as reimburse customers for fraudulent transactions, stop marketing the app as safe and educate users about the dangers of fraud.
SERENA, Ill. – An 8-year-old girl has died after she was struck by lightning while outside in the backyard of her home in LaSalle County over the Fourth of July weekend.
Girl killed by lightning strike
What we know:
The LaSalle County Coroner’s office said it was called to emergency department at OSF St. Elizabeth Hospital in Ottawa on the evening of July 3 after the child was brought in following the lightning strike.
A forensic autopsy was conducted on Sunday. Preliminary findings determined the girl died from injuries caused by the lightning strike.
What we don’t know:
Officials have not yet released the child’s identity.
The incident remains under investigation by the LaSalle County Coroner’s Office and the LaSalle County Sheriff’s Office.
The Source: The information in this report came from the LaSalle County Coroner’s Office.
LAKE GENEVA, Wis. – We’re learning more about the victims in Friday’s tragedy on Geneva Lake.
Three kids, ages 10, seven, and six, were killed after they were trapped in the sinking boat during the severe storms.
Officials won’t comment on their identities, but FOX6 learned at least two of them were students at the Community Unit School District 200 (CUSD 200) in Wheaton, Illinois.
FREE DOWNLOAD: Get breaking news alerts in the FOX LOCAL Mobile app for iOS or Android
The district released a statement, saying:
“On behalf of Community Unit School District 200, our deepest condolences are with the family and friends of the children who died in a tragic boating incident in Lake Geneva on July 3. We ask that you join us in supporting these families during this difficult time, and keep them in your thoughts as we all cope with this incredible loss.”
Lake Geneva Police Chief statement
What we know:
The City of Lake Geneva Police Department is opening up on the incident and the property destruction caused by the storms.
The police chief says, in part:
“In moments of tragedy, we often see the very best in people, and that has certainly been true here. While there is still healing ahead, I hope everyone knows how grateful we are for the outpouring of support shown over these past several days. It has been humbling to witness and a reminder that no one faces hardship alone when a community stands together.”
–Chief Ed Gritzner, City of Lake Geneva Police Department
The backstory:
Walworth County experienced what law enforcement described as a “sudden and severe” storm on July 3. The National Weather Service said it created a downburst with peak winds estimated at 90–100 mph.
FREE DOWNLOAD: Get breaking news alerts in the FOX LOCAL Mobile app for iOS or Android
The storm downed hundreds of trees and power lines, damaged several buildings and created hazardous boating conditions on Geneva Lake. One boat with 10 people on board overturned and ultimately sank.
Six adults and one child were rescued from the water, while three of the kids were missing when emergency responders got there. Those three children were found and later died despite life-saving attempts.
Emergency response on Geneva Lake after storms lead to calls for water rescue on July 3, 2026.
Who was on the boat?
The latest:
The three children who died have been identified as a 10-year-old girl, a 7-year-old girl and a 6-year-old boy.
The boat operator was a 47-year-old man. The other passengers were a 75-year-old man, a 73-year-old woman, a 49-year-old woman, a 46-year-old man, a 44-year-old woman and a 12-year-old boy.
The group included residents of Fontana, as well as residents of Batavia and Wheaton, Illinois. All four kids were wearing properly fitted life jackets, according to law enforcement.
SIGN UP TODAY: Get daily headlines, breaking news emails from FOX6 News
What happened on Geneva Lake?
Dig deeper:
Law enforcement said the boat operator had “extensive boating experience” and was unable to find safe harbor when the storm hit. At least two large waves broke over the bow, causing it to take on water. Another wave hit the side of the boat, causing it to roll, capsize and sink.
The sunken vessel was found in 32 feet of water, and three children were found inside the boat. Divers were able to get them out and bring them to the surface, and they were pronounced dead despite life-saving attempts. Investigators determined they had no external injuries and drowned.
What’s next:
The Wisconsin Department of Natural Resources and Geneva Lake Law Enforcement Agency are still conducting a joint investigation into the accident. Eleven other agencies assisted with the immediate needs.
The Source: Information in this post comes from the City of Lake Geneva Police Department and Community Unit School District 200 (CUSD 200), along with prior
-
Los Angeles, Ca57 minutes agoLoved ones search for missing 34-year-old Southern California woman
-
Detroit, MI1 hour agoChickens, geese found at vacant home after nonprofit reports them stolen
-
San Francisco, CA1 hour agoWhat’s next for San Francisco Giants as MLB trade deadline approaches?
-
Dallas, TX2 hours agoDallas millionaire files lawsuit against groundwater district
-
Miami, FL2 hours ago7 more women arrested at southwest Miami-Dade massage parlors, accused of prostitution in undercover sting
-
Boston, MA2 hours ago‘They’re my buddies’: 96-year-old Back Bay woman befriends French soccer team
-
Denver, CO2 hours agoDenver officers cited for separate incidents, 1 fired
-
Seattle, WA2 hours agoStudy finds dangerous chemicals in the breast milk of Seattle moms
