Trump-Backed Crypto Bills Spark Fiery Congressional Showdown as Partisan Rifts Deepen

Washington's crypto clash reaches boiling point as lawmakers duel over Trump-endorsed digital asset legislation. The divide? As wide as the spread on a shitcoin ICO.

Red vs. Blue: The Crypto Edition

Republicans charge forward with deregulatory proposals while Democrats dig in their heels - turning Capitol Hill into a blockchain battleground where consensus seems harder to achieve than Bitcoin's next halving cycle.

Political Mining Operation

The bills promise to 'unshackle innovation' (read: let crypto bros print money without SEC interference). Critics counter that it's just another pump-and-dump scheme - this time with congressional letterhead.

As the political hash rate intensifies, one thing's clear: in Washington's version of crypto winter, the only thing getting frozen is progress.

TLDR

• House GOP Fast-Tracks Crypto Bills Backed by Trump, Sparks Dem Pushback
• GENIUS Act Spurs Stablecoin Clash as Dems Slam Trump-Linked Perks
• CLARITY Act Fuels Crypto Turf War Between SEC and CFTC
• GOP Pushes Anti-CBDC Bill, Citing Privacy Threats From Digital Dollar
• Crypto Week Heats Up in Congress With Partisan Showdown Before Recess

Lawmakers in the US House of Representatives launched “crypto week” by advancing three controversial crypto bills backed by Republicans and President Donald Trump. The focus quickly shifted from digital assets to defense spending, but the crypto legislation remains at the center of debate. With crypto dominating the week, the House plans to vote before the August recess, creating pressure on both parties.

GENIUS Act Pushes Stablecoin Regulations Despite Democratic Concerns

The Guiding and Establishing National Innovation for US Stablecoins (GENIUS) Act proposes new federal requirements for issuing and backing stablecoins. It mandates full backing by liquid assets such as US dollars and Treasury bills, with monthly public disclosures. Republicans assert the bill WOULD promote financial innovation and help integrate crypto into the mainstream system.

🚨WATCH: Chairman @RepFrenchHill speaks at @RulesReps on the three bills as part of "Crypto Week:"

✅CLARITY Act
✅GENIUS Act
✅Anti-CBDC Surveillance State Act pic.twitter.com/VoHiAoaUt1

— Financial Services GOP (@FinancialCmte) July 14, 2025

However, Democrats argue the GENIUS Act lacks strong consumer safeguards and does not restrict big tech from launching private stablecoins. They also believe it provides regulatory favors to Trump’s firm, World Liberty Financial, which backs the stablecoin USD1. Despite Senate support, House Democrats plan to introduce amendments addressing anti-money laundering and foreign issuer restrictions.

The bill has triggered sharp criticism from lawmakers like Rep. Jim McGovern, who sees it as a handout to crypto firms. He linked it to broader efforts by Republicans to weaken oversight and benefit Trump-affiliated digital asset projects. As debate continues, both parties remain divided on whether this framework prioritizes innovation or enables corruption.

CLARITY Act Seeks Jurisdictional Order but Faces Opposition

The Digital Asset Market Clarity Act (CLARITY) aims to define crypto tokens as either commodities or securities to resolve oversight disputes. The bill would expand the Commodity Futures Trading Commission’s role while limiting the Securities and Exchange Commission’s authority. This would reduce legal uncertainties for crypto companies that have pushed for looser classifications.

Democrats oppose the bill, citing reduced protections and concern over Trump’s crypto interests influencing the bill’s direction. They argue that soft regulation could expose users to financial harm while favoring specific companies. The bill’s outcome in the Senate remains unclear, and its path forward may depend on bipartisan amendments.

Crypto leaders support the bill as it removes regulatory ambiguity that hindered previous business expansion plans. Republicans view it as a necessary step to protect domestic blockchain development. With time running short, House leaders plan to MOVE the bill quickly through the chamber.

Anti-CBDC Act Highlights GOP Privacy Push Amid Crypto Surge

The Anti-CBDC Surveillance State Act aims to prohibit the US government from issuing a central bank digital currency. Republicans argue a digital dollar would violate Americans’ financial privacy and expand government control. Democrats see the bill as premature since the Federal Reserve has not proposed any official CBDC plans.

The legislation is part of the broader push by Trump-aligned lawmakers to limit federal involvement in digital assets. They believe government-issued digital currency would undercut private crypto tokens and shift control away from users. TRUMP has previously voiced support for private-sector innovation in crypto rather than centralized alternatives.

While the bill has not reached the Senate, its introduction signals continued GOP resistance to a government-led digital currency. The House may pass the bill before recess, reinforcing the party’s pro-crypto and anti-surveillance messaging. The debate over privacy and control remains central to this ongoing legislative battle.