{"id":129626,"date":"2025-05-20T14:15:42","date_gmt":"2025-05-20T14:15:42","guid":{"rendered":"http:\/\/cryptospotters.net\/?p=129626"},"modified":"2025-05-20T14:15:42","modified_gmt":"2025-05-20T14:15:42","slug":"senate-stablecoin-vote-splits-democrats-amid-concerns-over-corruption","status":"publish","type":"post","link":"http:\/\/cryptospotters.net\/?p=129626","title":{"rendered":"Senate stablecoin vote splits Democrats amid concerns over corruption"},"content":{"rendered":"

Source: Cointelegraph.com NewsUS Senate Democrats are getting flak after they helped move stablecoin legislation ahead for discussion on the Senate floor.
\nOn May 19, 16 Democratic senators broke from the party line to pass a motion to invoke cloture, which will now set the bill up for debate on the Senate floor. Some of the same Democrats had held up the bill in early May when they withdrew support, citing corruption concerns over President Donald Trump\u2019s cryptocurrency dealings.
\nThe bill\u2019s opponents hailed lawmakers\u2019 refusal to support it but were soon taken aback when the senators reversed their position. The lightly amended legislation contained no provisions regarding World Liberty Financial, the Trump family\u2019s crypto venture.
\nSome activists have said that the Democrats supporting the bill should be ousted in the upcoming Democratic primaries in 2026, reflecting a growing rift in the Democratic Party over cryptocurrencies.
\nThe Senate voted 66-32 to move the bill ahead. Source: Stand With CryptoDemocratic lawmakers\u2019 approach to crypto shows split in party
\nOn May 19, moderate Democratic Senator Mark Warner announced he would support the bill, stating that it was \u201cnot perfect, but it\u2019s far better than the status quo.\u201d
\nWarner set corruption concerns aside, stating, \u201cMany senators, myself included, have very real concerns about the Trump family\u2019s use of crypto technologies to evade oversight […] But we cannot allow that corruption to blind us to the broader reality: blockchain technology is here to stay.\u201d
\nWarner concluded it would be better for the US to move forward on imperfect stablecoin legislation than to fall behind other jurisdictions.\u00a0
\nDemocratic Senator Kirsten Gillibrand, one of the bill\u2019s sponsors, also pushed aside Trump corruption concerns, saying they should be addressed separately.\u00a0
\nRelated: US Senate moves forward with GENIUS stablecoin bill
\n\u201cA lot of what President Trump is engaged in is already illegal,\u201d she said, adding that she didn\u2019t want the president\u2019s scandals to \u201cdistract us from the important goal of having a clear regulatory structure in the United States that can onshore this industry.\u201d
\nDuring the vote, progressive Democrats disagreed. Senator Elizabeth Warren, the top Democrat on the Senate Banking Committee and a vocal critic of the crypto industry, reportedly got into a heated argument with Gillibrand on the Senate floor.
\nWarren argued on the Senate floor ahead of the vote, \u201cA bill that turbocharges the stablecoin market, while facilitating the President\u2019s corruption and undermining national security, financial stability, and consumer protection is worse than no bill at all.\u201d
\nDemocrats opposing the bill aren\u2019t giving up either. Senator Michael Bennet of Colorado, who voted against the GENIUS Act, immediately introduced another bill, jokingly named \u201cthe STABLE GENIUS Act,\u201d combining the names of the bills in the Senate and House of Representatives.
\nThe bill would prevent the president, vice-president and members of Congress from \u201cissuing or endorsing digital assets\u201d and require them to place any assets they hold in a blind trust while in office.
\nWhile the bill has little chance of passing \u2014 numerous acts that would limit members\u2019 of Congress financial activities have fizzled out \u2014 it shows the Democrats are split on how they should provide opposition.
\nDemocratic activists lambast Democratic GENIUS supporters
\nThe progressive and activist wings of the Democratic party have roundly criticized Congressional leadership for compromising with Republicans on measures that, they claim, should be deal breakers.\u00a0
\nIn March, activists were enraged when Senator Chuck Schumer, a Democrat from New York and minority leader in the Senate, voted with the Republicans on a continuing resolution for government funding. One progressive observer accused him of giving up leverage and weakening the Democratic position.\u00a0
\nThen, in April, disagreements over how Democrats should fight Trump\u2019s mass deportations further deepened the rift.\u00a0
\nNow, crypto has become another wedge between the activist wing, which provides crucial voter activation during elections, and centrists in Congress.
\nEzra Levin, co-founder and co-executive director of progressive activist organization Indivisible, wrote on BlueSky:
\nEzra Levin commenting on crypto bill. Source: Ezra LevinCommunications strategist Murshed Zaheed, who formally worked for the offices of Senator Harry Reid and Representative Louise Slaughter, urged people to call their senators to come out against the bill.
\n\u201cAny Democrat who votes for this today \u2014 should never be taken seriously again if they send out emails, text and do videos […] talking a big game about Trump\u2019s corruption,\u201d he said.
\nRelated: What to expect at Trump\u2019s memecoin dinner
\nChris Kluwe, a former American football player who has since become a prominent activist within Democratic politics, said on May 20 he was \u201cexcited to get a chance to speak at the CA state Dem convention on May 31st, I\u2019m sure [the bill] won\u2019t come up at all in the 4 minutes I\u2019ve been allotted.\u201d
\nOn BlueSky, labor researcher and media law historian Peter Labuza posted \u201cPrimary List\u201d in reply to a post of the 16 Democratic senators who helped support the bill.
\nThe subject of primary elections, the intra-party elections to decide who will represent the party in a given district, has also grown contentious.
\nOn May 12, the Democratic National Convention (DNC) voted to void the results of an internal party vote nominating David Hogg as a vice chair. The decision essentially strips Hogg of his title at the DNC and, with it, the ability to promote his controversial policy of sponsoring progressive challengers in Democratic primary elections.\u00a0
\nHogg had planned to spend $20 million to support progressive and young candidates in Democratic Party primaries as part of the \u201cLeaders We Deserve\u201d campaign \u2014 an activist group that aims to elevate younger leaders with a more combative tone against the Trump administration.\u00a0
\nWith the stablecoin bills in the House and Senate poised to move ahead, the Democrats seem ill-suited to mount an effective opposition to the bills. Internal struggles and interests within Congress have disunited lawmakers, while activists want a new crop of congresspeople to represent them next term.
\nIn the Democratic Party\u2019s internal battle between the anti-crypto progressive wing and the pro-crypto pragmatists, the latter is winning out, so far.\u00a0
\nMagazine: Father-son team lists Africa\u2019s XRP Healthcare on Canadian stock exchangeRead More<\/a><\/p>","protected":false},"excerpt":{"rendered":"

Source: Cointelegraph.com NewsUS Senate Democrats are getting flak after they helped move stablecoin legislation ahead for discussion on the Senate floor. On May 19, 16 Democratic senators broke from the… <\/p>\n","protected":false},"author":0,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[5],"tags":[],"_links":{"self":[{"href":"http:\/\/cryptospotters.net\/index.php?rest_route=\/wp\/v2\/posts\/129626"}],"collection":[{"href":"http:\/\/cryptospotters.net\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/cryptospotters.net\/index.php?rest_route=\/wp\/v2\/types\/post"}],"replies":[{"embeddable":true,"href":"http:\/\/cryptospotters.net\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=129626"}],"version-history":[{"count":0,"href":"http:\/\/cryptospotters.net\/index.php?rest_route=\/wp\/v2\/posts\/129626\/revisions"}],"wp:attachment":[{"href":"http:\/\/cryptospotters.net\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=129626"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/cryptospotters.net\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=129626"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/cryptospotters.net\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=129626"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}