Cryptocurrency bills supported by U.S. President Donald Trump did not pass an important procedural step in the House on Tuesday, despite public calls from Trump to push the legislative process forward.
President Trump has called on Republican lawmakers to “complete the first vote this afternoon” on the bill regulating payment stablecoins, as part of a broader effort to pass cryptocurrency regulations before the August recess.
In a post on the social media platform Truth Social on Tuesday, Trump urged all Republican members to vote in favor of the GENIUS Act – a bill aimed at establishing a legal framework for payment stablecoins in the U.S.
CONGRATULATIONS ON CRYPTO WEEK! The House is about to VOTE on a great bill aimed at making America the NUMBER ONE, UNDISPUTED LEADER in digital assets – No one does it better than us! The GENIUS Act will propel our Great Nation far ahead of China, Europe, and all others trying to catch up, but they can't. Digital assets are the FUTURE, and we are leading by a wide margin!
Let’s complete the first vote this afternoon (ALL REPUBLICAN SENATORS MUST VOTE IN FAVOR!). This is our moment – Digital assets, GENIUS, Transparency! All are part of the campaign to Make America Great Again, GREATER THAN EVER. We are leading the world, and will work closely with the Senate and House to continue pushing for many more important bills!
GENIUS is one of three key bills in the Republican 'Crypto Week' plan in the House, alongside bills related to market structure and Central Bank Digital Currency (CBDC).
However, the procedural vote to consider these three bills along with a defense bill did not receive enough support, as at least 13 Republican senators may have voted against the resolution. House Speaker Mike Johnson said this legislative body will hold another vote “this afternoon”.
The GENIUS bill was passed by the Senate in June with bipartisan support, despite initially facing much opposition from Democrats. The bill is expected to be voted on in the House before Thursday. However, at the time of writing, it was unclear whether the House would hold a separate vote on Tuesday.
Trump is suspected of a conflict of interest with his family's stablecoin
Trump's active promotion of the stablecoin bill is facing strong criticism due to its connection with the cryptocurrency company World Liberty Financial (WLF) – a project backed by his family that has issued its own stablecoin. According to Bloomberg, Binance is said to have supported the development of USD1, WLF's stablecoin, and this currency has been used by an Abu Dhabi-based investment firm to disburse a $2 billion investment into the Binance exchange itself.
The office of Congresswoman Maxine Waters (California) announced on Tuesday:
“World Liberty Financial has received most of its funding from abroad, raising serious concerns about ethics and national security. Foreign investment is not just a business deal – it is also a direct money transfer to the sitting president, aimed at seeking favors and influence in the White House.”
In response to strong push from Republicans, many Democratic leaders have reacted by launching a campaign called “Anti-Corruption Week in Cryptocurrency.” They are calling for amendments to the three bills to enhance consumer protections and prohibit the president, vice president, and members of Congress from owning or promoting cryptocurrency to avoid conflicts of interest.
