TLDR
- The GENIUS Act is scheduled for a final vote in Congress today.
- Democrats accuse the bill of supporting Trump’s crypto interests.
- The bill aims to regulate stablecoins across national financial systems.
- Critics point to Trump’s USD1 stablecoin and foreign financial ties.
- A private dinner for $TRUMP token holders has raised ethical questions.
The GENIUS Act is set for a final floor vote today as tensions rise in Congress over crypto regulations. Lawmakers remain divided, with Democrats criticizing the bill’s perceived link to Trump’s growing involvement in digital finance. The GENIUS Act, which focuses on stablecoin regulation, has ignited controversy over potential conflicts of interest involving the President.
GENIUS Act Draws Scrutiny From Democrats Over Trump Ties
The GENIUS Act, short for Guiding and Establishing National Innovation for U.S. Stablecoins, has drawn serious opposition from key Senate Democrats. Senators Elizabeth Warren and Jeff Merkley continue to argue that the bill supports Trump’s expanding financial stake in stablecoins. Although the bill advanced with bipartisan support in the Senate Banking Committee, its ties to Trump’s assets raised concerns.
Democrats should stand together and use our power to fix the GENIUS Act before the vote tomorrow. There is no excuse to facilitate Trump's crypto corruption. pic.twitter.com/hZ3dplcZAc
— Elizabeth Warren (@SenWarren) May 8, 2025
Opponents claim that the GENIUS Act could provide regulatory cover for Trump’s USD1 stablecoin, which is reportedly backed by foreign capital. Democrats argue that the President’s recent gains from World Liberty Financial’s $2 billion deal signal a conflict of interest. This deal occurred weeks before the stablecoin bill moved forward, intensifying Democratic calls for a delay.
They allege that the GENIUS Act helps formalize a financial structure that favors Trump-linked crypto enterprises. Critics believe the act’s timing and purpose connect too closely with his economic ventures. Democrats insist that these associations compromise legislative integrity and question the bill’s intent.
Foreign Ties Trigger GENIUS Act Criticism
Further criticism followed the announcement of an exclusive dinner for top TRUMP token holders at the White House. This gathering includes several individuals with significant overseas holdings in Trump-related crypto assets. The event fuels concerns that foreign participants may gain disproportionate access to presidential influence.
Commentators suggest that the GENIUS Act could empower politically connected digital assets without sufficient oversight. The dinner, reportedly for the top 220 token stakeholders, highlights growing unease over foreign involvement in U.S. digital finance. Several watchdogs argue that the bill should be reexamined to protect national interests.
Public reactions intensified after reports linked high-value foreign holders to Trump’s crypto circle. Many lawmakers now question how the GENIUS Act will prevent abuse in digital asset management. Though not illegal, these events prompt debates about ethical governance in financial legislation.
Lawmakers Clash Over Stablecoin Regulation Bill
As the GENIUS Act approaches the final vote, Democrats call for increased debate and potential amendments to the bill. Republicans, however, aim to pass the legislation swiftly, highlighting the need for a clear regulatory framework. Supporters argue that stablecoin guidelines are long overdue and vital for financial innovation.
Still, the bill remains at the center of political friction due to its association with Trump’s digital ventures. Opponents claim that the bill’s language could benefit platforms tied to Republican leaders. The timing of the legislation and related financial disclosures continues to raise red flags in Congress.
