Senate Split Threatens Crypto Bill Amid Trump Family Controversy

Efforts to pass the GENIUS Act, a bipartisan bill establishing a regulatory framework for stablecoins, have stalled amid growing Democratic concerns about President Trump and his family's deepening involvement in the crypto industry. The Trump family's company, World Liberty Financial, recently partnered with Abu Dhabi-backed MGX on a $2 billion deal using their USD1 stablecoin, sparking fears of foreign influence and potential conflicts of interest. Democrats have withdrawn support for the GENIUS Act, citing inadequate provisions for anti-money laundering, foreign issuer oversight, and national security. In response, new legislation has been proposed to ban presidents and their families from issuing or endorsing digital assets, with critics accusing Trump of using crypto ventures for personal enrichment and raising ethical questions about transparency. Senator Elizabeth Warren and others have called for further scrutiny and stronger safeguards in any future crypto regulation. The controversy highlights the challenge of advancing digital asset legislation while addressing concerns over ethics, foreign involvement, and financial system integrity.