The Scoop
Key architects of a Senate bill that would create rules for stablecoins, a type of cryptocurrency pegged to other assets like the US dollar, told Semafor Wednesday that they expected revised legislation to pass by the end of next week — without language aimed at the Trump family’s crypto profits.
A push to advance the legislation last week imploded after crypto-friendly lawmakers were unable to finalize Democrat-sought revisions in time. Some Democrats had advocated for language that would prevent President Donald Trump from making money off an affiliated meme coin and stablecoin.
“I do think that’s a fair target,” Sen. Cynthia Lummis, R-Wyo., said when asked whether the Senate would pass stablecoin legislation by Memorial Day. She was speaking onstage with Sen. Kirsten Gillibrand, D-N.Y., and Coinbase CEO Brian Armstrong at an event hosted by Stand With Crypto and moderated by Semafor.
People familiar with the talks told Semafor Wednesday that key senators had finalized text of the legislation. The contours of their compromise remain unclear, though Gillibrand said that the bill has moved more in Democrats’ direction.
“When this language comes out, you will see really good refinements, a lot of progress — on things like consumer protection, and bankruptcy protection, and ethics,” Gillibrand said.
But she also indicated that the bill would not include provisions targeting Trump’s crypto profits. Sen. Ruben Gallego, D-Ariz., made similar comments last week.
“A lot of what President Trump’s engaged in is already illegal,” Gillibrand said. “So I’m not that worried about this bill having to deal with all of President Trump’s ethics problems. What this bill is really intended to do is regulate the entire space of stablecoins.”
“What this bill does have is ethics requirements, and I think they’re very strong, very good,” Gillibrand added. “But it’s not an ethics bill per se, and if we were dealing with all of President Trump’s ethics problems, it would be a very long and drawn-out bill.”
Asked about the president’s crypto business and its impact on bipartisan legislation, Armstrong declined to weigh in.
“Anybody should be able to sell artwork or coffee mugs or whatever. Now, is it good for the president to do it? I’m going to leave that for others to opine on,” Armstrong said. “It’s not my place to really comment on President Trump’s activity. What I do think is important is this bill remains focused on stablecoins.”
Also on Wednesday, Armstrong acknowledged that Coinbase’s initial preference was for Congress to advance stablecoin legislation alongside a broader overhaul of crypto regulation. But he said the exchange got behind senators’ eventual decision to move them separately.
“Originally when this process started, we were a little worried about the nuance between the two bills getting lost,” Armstrong said. “But the Senate decided to move forward with stablecoin, and we were very supportive of that.”