The Senate is voting on the GENIUS Act, a crypto regulation bill. Opposition from Democrats, particularly over Trump family ties, poses challenges. The bill aims to regulate stablecoins and requires 60 votes to pass. Senator Elizabeth Warren raises concerns about risks to the economy, while Majority Leader Thune pushes for bipartisan support. Negotiations continue amid uncertainty.
The Senate is gearing up for a big vote Thursday on a landmark crypto regulation bill, known as the GENIUS Act, but things have gotten a bit dicey. Opposition from Democrats is throwing a wrench in the works, partly due to concerns about rising connections between the digital asset sector and the Trump family. The stakes are high; they need 60 votes just to keep this legislation alive.
The GENIUS Act aims to set up a regulatory system for stablecoins, cryptocurrency that’s usually pegged to established assets like the U.S. dollar. This legislation originally passed the Senate Banking Committee with cross-party backing back in March. But then, the duckling lost its way—Democrats pulled their support after worries surfaced regarding Donald Trump and his family’s business dealings in crypto.
Today’s vote isn’t just any other day in Congress; it’s the procedural grind that could propel the bill to the next stage. But tension is palpable. The complexities got even murkier after it was revealed earlier this month that a firm from Abu Dhabi is ready to pour billions into a crypto firm linked to the Trump family—World Liberty Financial. This involves a staggering $2 billion investment in a stablecoin produced by World Liberty, tied to plans to invest in crypto exchange Binance.
Senator Elizabeth Warren, a leading Democratic voice on the Banking Committee, has expressed her frustrations. She insisted reporters haven’t gotten a final version of the bill just hours before the critical vote and called out specific “problem” areas in the proposed legislation. “It runs a substantial risk of eventually blowing up the U.S. economy and putting us once more in a position where taxpayers have to bail out the billionaires while they end up paying for the risks that the rich people took on,” she stated, sounding the alarm about consumer protection and corporate greed.
Warren did mention that negotiations are still on the table, but as of now, there’s no bipartisan agreement in sight. She raised hopes that if they could draft a version that properly regulates stablecoins, it could pass with a significant majority, cutting across party lines, which usually doesn’t happen often.
For their part, the White House is trying to quash concerns. Spokesperson Anna Kelly reminded everyone that Trump’s assets are managed in a trust by his children, claiming there are no conflicts of interest involved. She championed bipartisan cooperation, saying, “Stablecoin legislation should be passed on a bipartisan basis. President Trump is dedicated to making America the crypto capital of the world and revolutionizing our digital financial technology.”
On the Senate floor, Majority Leader John Thune urged his colleagues from both sides to support moving forward with the legislation. He emphasized that this version—the sixth iteration—was designed with input from both parties. If senators want changes, he believes they need to allow the bill to progress first.
Thune defended the GENIUS Act by stating it will bring “clarity” to innovators, marking a significant step in integrating digital assets into the U.S. financial landscape. He expects continued dialogue in the Senate about digital assets, making it clear that this legislation is just the beginning, not the end.
Before heading into the vote, Thune pressed Democrats to recognize their position, saying they’ve made efforts to work with them on any concerns. But he added, “At some point, they’re going to have to take yes for an answer,” suggesting a mix of impatience and determination on the Republican side of the aisle.
As the Senate prepares for a crucial procedural vote on the GENIUS Act, tensions are high over Democratic opposition linked to the Trump family’s connection in the crypto industry. While advocates, including Majority Leader Thune, push for clarity and regulatory support for stablecoins, dissenters like Senator Warren raise alarms about potential economic risks. With negotiations ongoing but no agreement yet, the path forward remains uncertain as the bill needs bipartisan backing to advance.
Original Source: www.cbsnews.com
