Senate Democrats are swinging in the advancement of the historical legislation of Stablecoin due to the growing personal benefit of President Donald Trump of his own cryptographic ties.
During the weekend, Senator Ruben Gallego, a Democrat chose to represent Arizona with $ 10 million in the support of Crypto Super Pac Fairshake, warned with eight of his colleagues who would not vote to advance in the current version of the guide and the establishment of national innovation for the state of the United States of 2025 (genius act), the Senate Print Law project. The Senate would need 60 votes to advance with any legislation.
However, the biggest problem for the cryptographic industry may be the effect that this new struggle has on the next market structure legislation. The Stablecoin bill should finally navigate through Congress, a person who works with legislators and legislative assistants told Coindesk, but any deceleration of the continuous impulse could threaten that bill, which in turn probably would probably delay any progress in the legislation of the market structure aimed at defining how the stock exchange commission and communication futures of the United States and the internal commission Supervise the industry. The market structure legislation, a bill that the industry has demanded for years, would cover a much wider range of activities than only the Stablecoin bill.
Two recent ads in particular may have raised the concern of the Democrats and led to the announcement of this weekend: Trump’s announcement of a dinner for the main headlines of his Memecoin and the announcement of the investment firm of Abu Dhabi Mgx that would use the USD1 Stablcoin backed by Trump’s family in the USD1 family for an investment in Binance. Both suggest that Trump himself can benefit personally with the sum of hundreds of millions of dollars, said USA Today.
Trump said he was not benefiting from his cryptographic during an interview with Meet The Press during the weekend.
“I’m not benefiting from anything,” he said. “All I am doing is that I started so much before the elections. I want cryptography. I think the cryptography is important because if we do not, China is going to do it. And it is new, it is very popular, it is very hot. If you look at the market, when the market is much stronger than other aspects of the market. But I want crypt because many people, you know that the market wants people to want.” “.” “.” “.” “.”
While Gallego’s announcement was published during the weekend, the Democrats have worried behind the scene for a few days, with Senator Chuck Schumer, the minority leader, warning the Democrats to retain support during a Caucus meeting last week, Coindesk confirmed. Axios first reported on this crack.
One of the people who talked to Coindesk said they were worried about how long the fight for Trump’s participation with cryptography could drag the legislative process for the Stablecoin bill, which Democrats must be comfortable voting to advance in the bill and if the situation will prevent a draft market of market structure progressing at all.
Gallego’s statement, which was co-filmed by Democrats Mark Warner, Raphael Warnock, Lisa Blunt Rochester, Catherine Cortez Masto, Andy Kim, Ben Ray Lujánn, John Hickenlooper and Adam Schiff, said legislators “recognize that the absence of regulation leaves consumers not atotate and vulnerable to practices predatory “, and that there is a need for the absence of the absence of regulation.
“However, the bill, as it is, still has numerous problems that must be addressed, including the addition of stronger provisions on money laundering, foreign issuers, national security, the preservation of the security and solidity of our financial system and the responsibility of those who do not meet the requirements of the law,” the statement said.
Gallego, Warner, Kim and Blunt Rochester had previously joined the Republicans to vote to advance the bill of the Senate Banking Committee.
Senator Elizabeth Warren, who directs the Democrats in the Senate Banking Committee, was much more forceful in a position on the Bluesky social media site, saying that the Senate should not approve a bill that “facilitates this type of corruption”, referring to the MGX announcement, publicly shared by Eric Trump, one of the children of the president, last week.
“The Trump family stable was raised to the world’s largest seventh due to shaded cryptographic treatment with the United Arab Emirates, a foreign government that will give them a crazy amount of money,” he said.
She wrote a joint letter with her companion Democrat Jeffrey Merkley to the interim director of the United States Government Ethics Office asking her office to investigate the MGX agreement on Monday.
The stagnant impulse is not limited to the Senate. Earlier on Monday, the representative Maxine Waters, the leader in the Chamber Financial Services Committee, told the president of the Committee that he would block efforts to hold a joint hearing with the Chamber Agriculture Committee that addresses the problems of the market structure.
“Most of this is political,” wrote Jaret Seiberg, TD Cowen’s financial policy analyst, in a note on Monday to customers. He said that Trump’s personal participation in Crypto is making it difficult for Democrats to support the Stablecoin bill that would regulate his family’s business. Even so, he predicted that he will still go to the Senate, although maybe not this week.
“The cryptographic lobby is politically powerful and has shown a will to dedicate its considerable resources to influence Washington,” Seiberg said. “It is difficult for us to see why the Democrats would assume that fight when they can take advantage of the significant concessions of the Republican Party in the Stablecoin bill.”
The lobbyists of the cryptographic industry seem alarmed about the advertisements of recent days: a joint statement published Monday urged legislators to begin the debate on the floor on the bill.
The statement, signed by the outgoing CEO of Blockchain Association, Kristin Smith, the interim CEO of the Crypto Council for Innovation, Ji Kim, and the new CEO of the digital chamber, Cody Carbone, said that a real regulatory frame would support the adoption of Stablecoin and the “domain of the dollar in the digital economy.”
“We respectfully urge the senators to vote on themselves on the motion to proceed to the genius law, and we approach one more step to the promulgation of a stablecoin bipartisan framework,” the statement said.
Another lobbying organization, the National Ventilation Capital Association, also intervened with a statement attributed to the CEO Bobby Franklin asking the Senate to advance the Stablecoin bill.
“The leadership of the United States in the digital economy depends on establishing a clear and consistent regulatory framework for the stables that encourages innovation, enables entrepreneurs and helps build the next generation of financial technologies,” said the statement. “A strong Stablecoin framework will also support the efforts of the risk capital industry to support innovative companies and strengthen the leadership of global financial technology in the United States.”
Read more: EE. UU Cryptographic Market Structure Bill presented by the legislators of the House of Representatives
