The U.S. Stablecoin Act is expected to pass on May 26, with provisions targeting the Trump family removed
The U.S. Senate plans to pass the "National Innovation Stablecoin Guidance and Establishment Act" (GENIUS Act) as early as May 26. This bill aims to establish a federal regulatory framework for stablecoins. Previously, Democrats had blocked its advancement on May 8 due to concerns that the bill might allow former President Trump and his family to benefit from crypto projects. To reach a consensus, the bill has removed provisions targeting the Trump family.
Background and Controversy
• Purpose of the bill: The GENIUS Act aims to establish a federal regulatory framework for stablecoins, ensuring their safety and stability while promoting innovation.
• Democratic concerns: Democrats were concerned that the bill might allow Trump and his family to benefit from crypto projects, particularly projects like Meme coins that the Trump family might launch.
• Provision removal: To reach a consensus, the bill has removed provisions targeting the Trump family.
Political Maneuvering and Bill Amendments
• Democratic position: Democratic Senator Kirsten Gillibrand stated that the wording of the bill has been amended to remove provisions related to Trump’s cryptocurrency projects, such as Meme coins.
• Bill improvements: Gillibrand emphasized that the amended bill has improvements in areas such as consumer protection and is not focused on Trump’s ethical issues, but rather aims to regulate the stablecoin sector.