GENIUS Act: Crypto Bill Clears Senate Amid Trump Investment Scrutiny/ Newslooks/ WASHINGTON/ J. Mansour/ Morning Edition/ The Senate is poised to pass the GENIUS Act, landmark legislation regulating stablecoins, without addressing concerns over President Trump’s personal crypto investments. Though bipartisan support exists, critics argue the bill fails to prevent presidential conflicts of interest. The bill now heads to the House for further debate and potential revision.
Crypto Bill Quick Looks
- Stablecoins regulated: Senate expected to pass first major crypto legislation Tuesday.
- Trump ties untouched: Bill excludes oversight of presidential investments in crypto.
- GENIUS Act scope: Introduces consumer protections and compliance for dollar-pegged stablecoins.
- Senate vote likely: Advanced by 68-30 margin, requires only simple majority.
- Industry support: Coinbase, top executives back bill as crypto legitimacy grows.
- House battle looms: Potential amendments could stall final passage.
GENIUS Act: Crypto Bill Clears Senate Amid Trump Investment Scrutiny
Deep Look
Senate Moves on Historic Crypto Legislation
In a significant moment for digital finance, the U.S. Senate is set to pass the GENIUS Act—short for “Guiding and Establishing National Innovation for U.S. Stablecoins”—on Tuesday.
The legislation, which would introduce the first regulatory framework for stablecoins, aims to ensure that these U.S. dollar-pegged digital assets are subject to oversight and consumer protections.
While the bill enjoys bipartisan backing, including from 18 Senate Democrats and a Republican majority, it has sparked controversy for failing to address President Trump’s extensive ties to the crypto industry.
Trump Crypto Empire Unchecked
The GENIUS Act bans members of Congress and their families from profiting off stablecoins, but does not apply to the president or the first family.
This exemption has drawn fire as Trump continues building a personal crypto empire—including hosting investors for a Trump-themed meme coin and holding a large stake in World Liberty Financial, which has issued its own stablecoin, USD1.
Sen. Elizabeth Warren (D-Mass.) called the bill a “super highway for Trump corruption,” warning that its loopholes give Trump unchecked freedom to benefit from the booming crypto market while in office.
Industry Influence Grows
The bill’s momentum comes after crypto became one of the top political spenders in the 2024 campaign cycle. Major players like Coinbase, whose CEO Brian Armstrong has met with Trump, have actively supported the legislation.
The crypto lobby has emphasized the bill’s bipartisan nature, with Senate Banking Chair Tim Scott (R-S.C.) calling it the most impactful crypto legislation yet: “Months of bipartisan work led us here.”
Treasury Secretary Scott Bessent praised the bill’s potential, estimating it could push the U.S. stablecoin market beyond $2 trillion by 2028.
Democratic Concerns and Compromise
Though many Senate Democrats remain wary, Sen. Angela Alsobrooks (D-Md.), who voted in favor, noted the final draft was the result of extensive cross-party negotiation.
“This is an unregulated area that will now be regulated,” Alsobrooks said, adding, “It’s a much better deal because we were all at the table.”
Next Stop: House Debate
If passed by the Senate, the GENIUS Act must still clear the GOP-controlled House, where lawmakers are likely to push for the inclusion of broader crypto market regulation.
This move could complicate the bill’s future, especially if controversial proposals derail bipartisan consensus.
Trump has publicly stated he wants the bill on his desk before Congress breaks for its August recess, giving lawmakers less than 50 days to reconcile House and Senate versions.
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