Senate Eyes Vote on Stablecoin Bill Despite Democratic Revolt

Democratic Concerns Undermine Stablecoin Legislation

Senate leadership is preparing to push forward with a vote on the legislation to create a framework for payment stablecoins this week. However, a faction of Senate Democrats, previously supportive, has now withdrawn their support for the bill.

Republican Plans and Democratic Pushback

Republicans are set to bring the GENIUS Act to the floor this Thursday, according to sources involved in the planning discussions. Nine Democratic senators, who once backed the bill, publicly stated their inability to support the current version citing persistent issues that must be resolved.

• Stronger anti-money laundering provisions
• Concerns regarding foreign issuers and national security
• Accountability measures for compliance

Senator Ruben Gallego (D-Ariz.) emphasized that this decision was not unexpected and stemmed from ongoing negotiations that had been unfruitful.

Political Tensions Over Crypto Legislation

The urgency to pass the stablecoin bill has led to increased tensions, especially following Senate Majority Leader John Thune’s announcement to fast-track the legislation without substantial Democratic input. This has sparked intense discussions among lawmakers.

Further complicating the matter are revelations regarding financial connections between President Trump, new crypto ventures, and the proposed stablecoin bill. As scrutiny intensifies, Senator Elizabeth Warren voiced strong opposition, linking potential legislative passage to possible conflicts of interest.

Implications for Future Crypto Regulation

As support wanes from the Democratic side, the potential for significant structural changes to the stablecoin landscape diminishes, placing the future of these vital regulatory efforts in jeopardy.