Trump’s Crypto Ventures Block Stablecoin Legislation

By: bitcoin ethereum news|2025/05/10 22:45:05

Trump’s crypto ventures hinder the GENIUS Act due to concerns over conflicts of interest. Senate Democrats cite Trump’s financial conflicts as a reason for blocking the stablecoin bill. $TRUMP coin’s surge raises concerns of a “pay-for-play scheme” linked to the president. Donald Trump’s direct involvement in the cryptocurrency world is leading to major hurdles towards the realization of his crypto agenda. This week, the GENIUS Act, a significant piece of legislation to set up federal regulations for stablecoins, could not pass through the Senate. The reason for disagreement is the fear of conflicts of interest, especially concerning Trump’s crypto businesses, such as his meme coins. Bipartisan Support Undermined by Meme Coin Controversy The GENIUS Act had received bipartisan support, with both Democrats and Republicans acknowledging the need for stablecoin regulation. However, the support began to fade because of the $TRUMP meme coin, which had surged in value following Trump’s endorsement and controversial promotions. One such promotion, whereby top holders of the coin received a dinner with the president and a VIP White House tour, the coin’s value skyrocketed. Critics, such as Senator Richard Blumenthal, D-Conn. referred to this as a “pay-for-play scheme,” describing that this was a conflict of interest. Related: CZ Dissociates Self From TRUMP Meme Coin, Confirms Owning None Senators Warn of Corruption and National Security Risk Senator Jeff Merkley, D-Ore., challenged the president over his financial entanglements. He stated: Currently, people who wish to cultivate influence with the president can enrich him personally by buying cryptocurrency he owns or controls He asserted that it is a corrupt practice that endangers national security and erodes public confidence in the government. Merkley’s comment aligns with increasing anxiety in the legislature over Trump’s involvement with the crypto industry. Trump’s crypto activities are not limited to meme coins. World Liberty Financial launched a stablecoin when its administration lobbied for slacker crypto regulations. According to reports, Trump’s stablecoin was involved in a $2 billion investment by an Abu Dhabi-based MGX into the crypto exchange Binance, which further raises concerns of conflicts of interest. Legislative Setback The GENIUS Act was defeated in the Senate on Thursday, with 48 votes when 60 were needed. Such a setback came as a result of a withdrawal of support from various Senate Democrats, including Sen. Lisa Blunt Rochester of Delaware. They raised concerns over Trump’s financial conflicts of interest, and they urged for stronger anti-money laundering measures. In spite of the setback, some legislators have a ray of hope for future legislation. Sen. Kirsten Gillibrand stressed that strong regulations on stablecoins are necessary. However, worries regarding Trump’s financial relations could slow down the work of implementing a clear regulatory framework for the burgeoning cryptocurrency market. Disclaimer: The information presented in this article is for informational and educational purposes only. The article does not constitute financial advice or advice of any kind. Coin Edition is not responsible for any losses incurred as a result of the utilization of content, products, or services mentioned. Readers are advised to exercise caution before taking any action related to the company. Source: https://coinedition.com/trumps-personal-crypto-ties-stall-genius-act-as-concerns-over-conflicts-grow/

Peeling back its smooth trading interface to examine the underlying legal relationships and settlement processes, you will find that this is far from a simple "RWA asset revolution," but rather a complex game of interests involving spot pricing, rights ownership, and the monopoly of underlying custo...

In such a crowded cross-border payment arena, where is the next stop for the future?

Only by stepping into the mud can one have the chance to touch gold.

Why Is Bitcoin Down in 2026? What We Can Learn From 2022

Why is Bitcoin down in 2026? Bitcoin has just recorded its worst first half since 2022, with back-to-back quarterly losses, record ETF outflows, and extreme fear. Here's what history says, how 2026 differs from the last bear market, and the three signals traders should wat

The large models in the United States are moving towards closure in the name of security

The government successfully inserted itself as an approver between commercial AI models and their users for the first time.

From the white-haired stock god to the billionaire fund mogul, the smart people shorting Nvidia are all getting rich using the same framework

Give up on heavily investing in Nvidia's "nine major bottlenecks"! This article analyzes the underlying logic behind top AI investors making billions: physical infrastructure such as electricity, HBM, and optical interconnects are the true keys to wealth in AI hardware.

Morning Report | CoinEx becomes a key hub for Iran to evade sanctions, involving over $3.8 billion in funds; Kalshi seeks a new round of financing, with a valuation potentially rising to $40 billion

Overview of Important Market Events on June 25

Global Launch: As predictions become the most scarce asset in the AI era, Manadia is defining the next generation of the value internet

The trusted AI prediction ecosystem Manadia, which has secured $7 million in funding from well-known institutions like OKX, will globally launch in June. The core token UMXM has already been listed on multiple mainstream platforms, inviting you to seize the new blue ocean of the trillion-level predi...

Argentina vs Cape Verde: When a Record-Breaking Legend Meets an Unbreakable Underdog

How does Gate redo "buying and selling stocks" from the cryptocurrency world to the stock market?

The competition logic of exchanges has changed.

Former ByteDance employee's account: How I started with two Pinduoduo hard drives and made six times the profit with Seagate to achieve financial freedom?

Visa and Mastercard join 140 giants to launch a new stablecoin, but the impact on the market landscape may still be limited

WEEX Launches Depth Chart for Spot Trading

WEEX Spot now supports Depth Chart, helping users visualize buy and sell orders, spot liquidity walls, and understand market depth more clearly before placing trades.

MiCA reshuffle begins, Binance temporarily bids farewell to the EU

What Binance leaves behind is not scattered retail investors, but a whole batch of high-value users who are forced to liquidate and have almost nowhere to go.