Stablecoin Showdown: Senate Bill Revived After Trump-Crypto Clash

Washington’s crypto circus is back in session—the stalled stablecoin bill might get a second shot after partisan fireworks over Trump-era crypto ties.

Behind the scenes: Lobbyists are working overtime to untangle the mess, while traders shrug and keep stacking Tether. Some things never change.

Closing thought: Nothing unites politicians faster than the smell of campaign donations... or the fear of missing the next crypto boom.

Trump’s dubious stablecoin ties

One sticking point for Democrats was Trump’s indirect ties to stablecoin issuer World Liberty Financial, linked to a deal involving Binance and Abu Dhabi’s MGX. However, the revised bill does not include language addressing this, according to CoinDesk reporting.  

Senator Kirsten Gillibrand acknowledged that while the bill includes general ethics measures, it is “not an ethics bill per se.”

Senator Cynthia Lummis (R-Wyo.), co-sponsor of the bill, urged lawmakers to focus on regulatory clarity rather than political distractions. “I don’t want the fact that President Trump’s name comes up… to distract us from the important goal,” she said at a Wednesday event.

The House is also advancing a separate stablecoin bill. If both chambers align, it could mark a major shift in how the U.S. approaches digital dollar regulation.