Stablecoin Bill Hits Crisis in the U.S
The long-debated Stablecoin regulation bill in the U.S. Senate has once again stalled. Despite bipartisan progress, nine previously supportive pro-crypto Democrats have withdrawn their backing due to concerns over national security and anti-money laundering (AML) provisions.
Senator Elizabeth Warren has called for the bill to be suspended immediately. She pointed out potential conflicts of interest involving former President Donald Trump’s family, stating that Liberty Financial—known for its ties to the Trump family—is collaborating on a $2 billion stablecoin project with MGX, a UAE-based firm. MGX reportedly plans to use this stablecoin for Binance-related investments.
Warren described the situation as a potentially “suspicious crypto deal,” warning that foreign governments could use such projects to channel funds to the Trump family.
These developments have led to a significant legal and political deadlock in the Senate over establishing a federal regulatory framework for stablecoins.