The recent stalling of key stablecoin legislation in the United States Senate has caused a stir in the crypto community. However, Cody Carbone, CEO of Digital Chamber, a Washington, DC-based blockchain trade association and advocacy group, remains optimistic that the bill will pass in the coming weeks.

Carbone highlighted the importance of passing comprehensive stablecoin regulations to protect the US dollar's hegemony in global markets. He emphasized that this bipartisan issue has broad support and is crucial for maintaining the country's financial stability.

Despite the setback in the Senate, Carbone expressed confidence that the legislation, known as the Guiding and Establishing National Innovation in U.S. Stablecoins of 2025 (GENIUS Act), will ultimately be approved. He acknowledged that legislative processes can be slow but assured that progress is being made.

The failure of the bill to pass a procedural vote on May 8 was attributed to Democratic lawmakers withdrawing their support due to concerns about former President Donald Trump's involvement in the crypto industry. Some lawmakers raised ethics concerns and pointed to Trump's influence in the memecoin market, decentralized finance, and non-fungible token (NFT) sector as reasons for their opposition.

The involvement of Trump in the crypto space has complicated the regulatory process, according to Paul Grewal, chief legal officer at Coinbase. Lawmakers are closely scrutinizing Trump's activities, which has led to some challenges in advancing the stablecoin legislation.

Republican Senator Tim Scott criticized Democratic policymakers for using partisan politics to derail the bill and prevent Trump from achieving his administration's digital asset goals. In response to these concerns, the latest version of the bill has removed references to the Trump family in an effort to garner broader support.

Industry executives believe that the revised bill could pass the Senate by the end of May, signaling a positive development for the crypto community. The passage of comprehensive stablecoin regulations is seen as a critical step in ensuring a favorable regulatory environment for the cryptocurrency market.

As the debate over stablecoin legislation continues, stakeholders in the crypto industry are closely monitoring developments in Washington, DC. The outcome of this legislative process could have far-reaching implications for the future of stablecoins and the broader crypto market.

Source: https://cointelegraph.com/news/stablecoin-bill-likely-pass-senate-several-weeks-digital-chamber?utm_source=rss_feed&utm_medium=rss&utm_campaign=rss_partner_inbound