The U.S. Senate’s proposal to regulate stablecoins, known as the GENIUS Act, has successfully cleared a significant procedural hurdle, moving closer to a full floor debate. On May 19, lawmakers voted to invoke cloture on the bill, marking a pivotal moment in its legislative journey. This vote followed an earlier setback on May 8, when Democrats withdrew their support to engage in further negotiations.
The cloture vote garnered 66 votes in favor, 32 against, and two abstentions, including support from several Democrats who had initially opposed the bill. Sixteen Democrats supported the vote, led by Senators Kirsten Gillibrand, Angela Alsobrooks, Ruben Gallego, and Mark Warner. Despite this progress, Senator Elizabeth Warren however, remained a vocal critic arguing that the bill had not undergone significant changes since the initial vote and urged her colleagues to reject it. Warren expressed concerns about the bill’s ability to address issues related to the Trump family’s crypto ventures, potential loopholes for bad actors, and insufficient consumer protections.
Despite Warren’s opposition, the shift in support was partly influenced by ongoing negotiations addressing key concerns such as anti-money laundering, foreign issuers, and national security. Notably, six of the nine Democrats who had previously withdrawn their support voted in favor of cloture, including Senators Catherine Cortez Masto, Ben Ray Luján, Adam Schiff, Lisa Blunt Rochester, Mark Warner, and Ruben Gallego.
A final vote on the bill has not yet been scheduled. We will continue to monitor this legislation and provide updates.
