Trump's Red, White, and Meme-Colored Curveball Derails GENIUS Act

Just when it looked like bipartisan magic might bless Capitol Hill, a red, white, and meme-colored curveball derailed it.

Just when it looked like bipartisan magic might bless Capitol Hill, a red, white, and meme-colored curveball derailed it. While President Trump GENIUS Act—a bill designed to regulate stablecoins—was gaining rare support across party lines, it ultimately fell short of the 60 votes needed to make it to the Senate floor.

The crypto space was gearing up for a potential regulatory breakthrough. But senators hit the brakes, spooked by what they called a glaring conflict of interest: the president personally profiting from the very digital assets his administration is trying to legislate.

And let’s talk numbers now. The GENIUS Act got 48 yeses, 49 nays, and three senators apparently ghosted.

It wasn’t just partisan politics—it was the meme coin madness.

President Trump’s $TRUMP token skyrocketed after offering holders a chance to dine with him and tour the White House. And yes, Melania launched her own token too, because why not turn the executive branch into a limited-edition NFT drop?

Senator Jeff Merkley didn’t mince words. “This is a profoundly corrupt scheme,” he declared.

Others, like Sen. Blumenthal, labeled it “pay-for-play” and even called for an investigation into the Trump-linked World Liberty Financial, which conveniently rolled out a stablecoin just as the administration was promoting looser regulations.

Trump's illegal profits from crypto ventures—$Trump & World Liberty Financial—have already made him $100’s of millions, putting a "For Sale" sign on the White House in "pay to play" deals. These illicit gains violate at least the Constitution's Emoluments Clause.

— Richard Blumenthal (@SenBlumenthal) May 11, 2025

With their eyebrows permanently raised, Senate Democrats introduced the “End Crypto Corruption Act,” co-authored by Senate Majority Leader Chuck Schumer and Sen. Merkley. Its mission? Ban elected officials and their inner circles from issuing or endorsing crypto assets. Apparently, it’s not ideal to run a nation and a meme coin fan club at the same time.

But the real kicker came when four Democrats who had originally supported the GENIUS Act backed out last minute, citing concerns over money laundering, foreign involvement, and national security in a joint statement.

One of them, Sen. Lisa Blunt Rochester, openly accused the Trump family of “ongoing self-dealing.”

Their statement reads: "We appreciate the bipartisan interest in advancing legislation to provide clarity and certainty for the digital asset industry, and we have been engaged in discussions on the GENIUS Act. While we share the goal of bipartisan legislation in this critical area, we have serious concerns that need to be addressed."

After an opening round of voting on Thursday delivered a tie, the GENIUS Act was pulled from consideration.

The Trump administration had been aiming to introduce legislation this year that would create a regulatory framework for stablecoins, aiming to preempt bipartisan legislation in Congress.

The president’s focus on crypto has been anything but subtle, frequently touting his $TRUMP token, which launched in March. The token, which is designed to be a hybrid meme coin and utility token, has soared in value.

The token offers holders the chance to win a dinner with Trump, a tour of the White House, and other exclusive experiences. It is also being used to raise money for Trump's favorite charities, which he selects each month.

Earlier this year, Trump said he is planning to launch his own stablecoin, which will be called "Trump Pay." The stablecoin is expected to be pegged to the U.S. dollar and will be used to process payments and reduce transaction fees.

The stablecoin will be launched by Trump's new cryptocurrency venture, World Liberty Financial, which is being led by former hedge fund manager and Trump ally Paul Lerner.

The venture is currently developing a payment network and stablecoin, which will be announced in the coming months.

"We are going to be doing a stablecoin, which will be used to process payments and reduce transaction fees," Trump said in an interview with Good Morning America.

"It will be the best stablecoin that's ever been made, and we're going to be announcing it in the not-too-distant future."

The president's stablecoin plans come as members of Congress are working to introduce legislation that would create a regulatory framework for stablecoins.

House Financial Services Chair Maxine Waters (D-CA) and ranking member Patrick McHenry (R-NC) are planning to introduce a bill that would require stablecoin issuers to register with the Securities and Exchange Commission (SEC) and follow anti-money laundering rules.

The Senate Banking Committee is also working on a stablecoin bill, which is being led by Chairman Tim Scott (R-SC) and ranking member Sherrod Brown (D-OH).

The committee's bill, which