The GENIUS Act, a stablecoin bill expected to loosen crypto regulations, hit a roadblock in the U.S. Senate. Despite this, Coinbase CEO Brian Armstrong remains optimistic, noting significant progress in U.S. crypto legislation this week and anticipating further advancements soon.
The crypto market soared, with Ethereum leading a 22% rally, pushing the total market cap up 5% to $3.25 trillion. Trading volume spiked 72% to $190 billion, with market sentiment shifting to “Greed.”
GENIUS Act Nears a Vote?
In an X post, Armstrong praised the introduction of market structure draft legislation and ongoing bipartisan efforts to advance stablecoin laws, hinting at a potential Senate vote next week. He highlighted the upcoming Stand With Crypto day on May 14, where over 60 crypto founders will rally in Washington, D.C., to push for pro-crypto policies.
Armstrong welcomed the Senate’s initial vote on stablecoin legislation but noted the bill needs tweaks, particularly around restrictions on yield and interest. He believes the GENIUS Act is close to reaching the President’s desk with strong bipartisan support.
Senate Stalls Stablecoin Bill Amid Trump’s Crypto Surge
Despite $119 million from crypto industry leaders backing pro-crypto candidates last year, the GENIUS Act fell short, with only 49 senators voting to advance it—far from the required 60. GOP Senators Josh Hawley and Rand Paul joined Democrats to block it, while Senator Mark Warner, a former supporter, cited an unfinished bill. Concerns over foreign money and weak anti-money laundering measures, amplified by Trump’s World Liberty Financial’s USD1 stablecoin, derailed progress. Senate Democrats criticized Republicans for resisting stricter safeguards.
Trump’s Crypto Empire Grows
USD1, backed by Trump, has skyrocketed from a $130 million market cap to over $2 billion since late April, surpassing First Digital USD and PayPal USD to become the 7th largest stablecoin. Meanwhile, Trump’s meme coin, OFFICIAL TRUMP (TRUMP), surged 15% in 24 hours and 85% over the past month, trading at $14.24 with a 144% jump in daily volume to $2.39 billion. The Trump Organization and affiliates control roughly 80% of TRUMP’s supply.
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