Senate Greenlights Stablecoin Bill—Is Crypto Regulation Finally Catching Up?

The U.S. Senate just passed a stablecoin bill—because nothing says ’progress’ like Washington scrambling to regulate what the free market already built.

The Regulatory Domino Effect

With stablecoins now in lawmakers’ crosshairs, the real question isn’t if broader crypto regulation comes next—but how badly Congress will butcher it. Watch for the usual suspects: compliance theater, legacy finance lobbyists whispering in ears, and a 300-page bill that somehow misses the point entirely.

Crypto’s Compliance Tango

Exchanges and protocols are already prepping for the inevitable. Expect more KYC hoops, surveillance masquerading as ’consumer protection,’ and at least one senator confusing Bitcoin with an actual coin. Meanwhile, DeFi keeps innovating—because code doesn’t wait for subcommittee hearings.

Here’s the cynical take: this isn’t about protecting users. It’s about control. And as any crypto native knows, the harder they grip, the more slips through their fingers.

Mixed views as stablecoin bill advances

Senator Ruben Gallego and eight other Democrats strongly opposed the previous vote. However, they supported yesterday’s vote, apart from New Jersey’s Andy Kim. About 16 Democrats voted ‘YES’. 

According to reports, crypto super PAC Fairshake and Stand With Crypto (SWC) may have influenced the outcome. In a statement, SWC said, 

“The Senate heard our voices. SWC advocates contacted their senators tens of thousands of times and over 120K watched our livestream of the GENIUS Act vote tonight.”

Notably, some of the Senators who supported the bill, like Gallego, Bernie Moreno, and Adam Schiff, were heavily supported by Fairshake in the last elections. 

In a statement, a spokesperson for CEDAR Innovation Foundation, an affiliate of Fairshake, stated, 

“We congratulate the Senate on today’s vote. This action, and eventually passage of a stablecoin bill, clears the path for Congress to act on the mandate of voters to pass market structure legislation which creates clear rules of the road for digital assets.”

For Alex Thorn, head of research at Galaxy Digital, the bill’s passage was a ‘big victory’ for the sector. 

Senator Bill Hagerty echoed a similar sentiment, stating that the GENIUS Act WOULD herald American payment systems. 

“Customers will be protected, the demand for U.S. treasuries will balloon to the tune of more than $1 trillion, and innovation in the digital asset space will thrive in the United States going forward.” 

However, some Democrats, led by Elizabeth Warren, opposed the bill, claiming it would entrench corruption amongst big tech firms and President Donald Trump’s crypto interests. 

“The bill will turbocharge this kind of corruption by expanding the reach of President Trump’s USD1 stablecoin and giving him the authority to regulate his own financial product.”

That said, yesterday’s vote was the key hurdle. The next step will be a floor debate and amendments for the bill.

After that, a final Senate vote will be held with a simple majority threshold: 51 votes out of 100 total Senators or fewer, depending on those present. Some believe this may happen after Memorial Day on the 26th of May.  

The U.S. House of Representatives must also pass the bill before it is submitted for presidential action and enacted into law.