Sudden Opposition from US Democrats... Stablecoin Bill Hits a Snag

Uk Jin

Summary

The US stablecoin bill is reportedly facing difficulties in reaching an agreement due to opposition from Democratic lawmakers.
The stablecoin bill was proposed to establish regulatory clarity, but key lawmakers pointed out issues with the bill.
Negotiations between the two parties are ongoing, and the first vote is scheduled for next week.

The US Democrats and Republicans, who had reached a rare bipartisan agreement on the stablecoin (a virtual asset pegged to the value of fiat currency) bill, have hit a snag. This is due to Democratic lawmakers opposing the stablecoin bill.

On the 4th (local time), the US political media outlet Politico reported that nine key Republican lawmakers have opposed the stablecoin bill, the 'Genius Act'. This bill, proposed by Senator Bill Hagerty, aims to establish regulatory clarity for stablecoins.

According to the report, the nine lawmakers stated in a joint statement, "The bill still has several issues, and we will not support it without amendments." The statement included names such as ▲Ruben Gallego, ▲Mark Warner, ▲Lisa Blunt Rochester, and ▲Andy Kim.

Senate Majority Leader Chuck Schumer also expressed opposition to the stablecoin bill. An anonymous source revealed, "Senator Chuck Schumer privately urged Democratic lawmakers not to support the stablecoin bill."

However, negotiations between the two parties on the stablecoin bill are reportedly ongoing. Representative Ruben Gallego, who participated in the statement, announced on his X (formerly Twitter), "This is not a sudden decision by the Democrats. Democrats have been trying to negotiate with Republicans on this bill for weeks." He added, "The improvements we sought were not included," and "We hope this bill moves in a better direction."

Meanwhile, the US Senate Committee is scheduled to hold the first vote on the bill next week.