According to Cointelegraph, a group of Senate Democrats supporting the cryptocurrency industry stated that they would oppose the Republican-led stablecoin bill if it moves forward in its current form. The bill could become the first regulatory framework for stablecoins in the U.S.
According to Politico on May 3, nine Senate Democrats stated in a joint statement that the bill still has many issues that need to be addressed, and unless modifications are made, they will not support procedural voting. Signatories of the statement include Senators Ruben Gallego, Mark Warner, and others.
The bill was introduced by Senator Bill Hagerty and is officially titled the "American Stablecoin National Innovation and Establishment Act" (GENIUS Act). The Senate is expected to begin deliberations on the bill in the coming days, with a first vote possibly occurring next week.
Although the bill was amended after committee approval to address Democratic concerns, lawmakers stated that these changes are insufficient. They called for stronger anti-money laundering measures, national security, foreign issuers, and accountability for non-compliance.
Despite the opposition, Democratic senators emphasized their commitment to developing responsible cryptocurrency regulation and expressed a willingness to continue working with colleagues to address these issues.