Catenaa, Friday, May 09, 2025-The US Senate voted Thursday to stall progress on a bipartisan bill aimed at regulating stablecoins, as tensions flared over former President Donald Trump’s deepening involvement in cryptocurrency ventures.
The bill remains in limbo as lawmakers continue closed-door negotiations.
Senators voted in a procedural cloture move that effectively paused the bill. Senate Majority Leader John Thune, R-S.D., who initially voted against the bill, later explained his opposition was procedural to allow it to return for future debate.
The delay follows a wave of Democratic criticism over Trump’s crypto activities, including his personal memecoin launch and high-ticket fundraising dinners. Lawmakers expressed concern the legislation lacked adequate safeguards against foreign issuers and money laundering, citing unfinished text and unresolved ethics concerns.
Sens. Mark Warner, D-Va., and Ruben Gallego, D-Ariz., led Democratic objections. Warner stated he could not “in good conscience” ask colleagues to vote on an incomplete bill.
The GENIUS Act, backed by Republicans and some Democrats, had aimed to establish a framework for stablecoins with 100% dollar-backed reserves and annual audits. It also restricted foreign-issued stablecoins from launching in the US, while permitting them to circulate in secondary markets.
Trump’s crypto ties have further divided Congress. His company-backed World Liberty Financial launched a stablecoin, and he recently hosted a dinner charging \$1.5 million per plate to support his MAGA Inc. super PAC.
Democrats argue Trump’s financial stake raises ethical conflicts, with Rep. Maxine Waters, D-Calif., boycotting a crypto hearing in protest.
