Lawmakers from both sides of the aisle are moving quickly to revive the GENIUS Act, a crucial stablecoin bill that has garnered strong support from major players in the crypto industry. This comes after the bill was temporarily shelved last week amid controversy surrounding former President Donald Trump’s growing involvement in the digital asset space.
Republican Senator Bill Hagerty of Tennessee, who is spearheading the GENIUS Act, shared with Bloomberg that bipartisan staff discussions are ongoing. He expressed optimism that Democrats will join the effort to pass the bill before the Memorial Day recess, noting, “The window is now. We’ll see if reasonableness will prevail.”
Previously, the bill enjoyed bipartisan support within the Senate Banking Committee. Democratic Senator Angela Alsobrooks of Maryland, a prominent advocate, confirmed that discussions are continuing, though she refrained from revealing specific details about the current negotiations.
This renewed push comes just days after the U.S. Senate blocked the GENIUS Act’s advancement. The setback dealt a blow to the crypto industry’s quest for regulatory clarity. As reported by crypto.news, the procedural cloture vote narrowly failed by a 48-49 margin, falling short of the 60 votes required to begin formal debate.
JUST IN: The Senate cloture vote on the GENIUS Act failed 48-49. While the bill did not advance, it is not dead.
— Blockworks (@Blockworks_) May 8, 2025
Concerns raised by lawmakers included the bill’s insufficient safeguards against illicit finance and the involvement of foreign stablecoin issuers. Additionally, some Democrats pointed to former President Trump’s increasing ties to the crypto world, particularly his associations with memecoins and fundraising events, as complicating the legislative process.
For stablecoins and other digital assets to thrive globally, the world needs American leadership.
The Senate missed an opportunity to provide that leadership today by failing to advance the GENIUS Act.
This bill represents a once-in-a-generation opportunity to expand dollar…
— Treasury Secretary Scott Bessent (@SecScottBessent) May 8, 2025
Meanwhile, across the globe, South Korea’s central bank has called for clear legal authority over the issuance of stablecoins pegged to the Korean won. The Bank of Korea (BOK) warned that unregulated use of such stablecoins could disrupt the country’s monetary policy framework. According to a senior official at the BOK, if stablecoins backed by the local currency are to be introduced, monetary authorities must be involved from the very beginning to ensure proper regulation.
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