Trump Calls on Republicans to Support GENIUS Act for Stablecoin Regulation

Trump Calls on Republicans to Support GENIUS Act for Stablecoin Regulation

Push for Stablecoin Regulatory Framework

Former U.S. President Donald Trump has urged House Republicans to endorse the Guiding and Establishing National Innovation for US Stablecoins (GENIUS) Act, legislation designed to regulate payment stablecoins. Through a post on his social media platform, Truth Social, Trump emphasized the urgency of securing a vote on the bill, urging lawmakers to “get the first vote done this afternoon.” This appeal highlights ongoing efforts to establish a comprehensive regulatory framework for cryptocurrencies amid growing market interest and scrutiny.

The GENIUS Act is a central component of the House GOP’s “crypto week,” which also includes bills addressing the digital asset market structure and central bank digital currencies. Having passed the Senate in June with bipartisan backing, the bill is anticipated to reach the House floor by Thursday. However, there remains uncertainty about whether the vote will proceed as swiftly as Trump has requested, with some legislators advocating for stablecoin regulation to be integrated into broader reforms of the digital asset market.

Legislative and Political Context

The advancement of the GENIUS Act marks a significant juncture in U.S. cryptocurrency policy. Supporters contend that the bill will facilitate the mainstream adoption of stablecoins by providing clear regulatory guidelines. Conversely, critics caution that the legislation could compromise the decentralized ethos of cryptocurrencies and potentially foster corruption. The debate has intensified lobbying efforts from various industry stakeholders, some of whom advocate for more stringent regulations to protect market integrity.

Trump’s vocal support for the GENIUS Act has attracted scrutiny due to his ties to World Liberty Financial (WLF), a family-affiliated crypto firm that has issued its own stablecoin. Reports have also connected Binance, a leading cryptocurrency exchange, to the development of WLF’s USD1 stablecoin, which was involved in a $2 billion investment transaction with the exchange. These associations have raised concerns about potential conflicts of interest as the administration moves to shape crypto regulatory policy.

The bill’s progress coincides with broader initiatives by the Trump administration to tighten federal spending and regulatory oversight. A $9.4 billion rescissions package targeting areas such as public broadcasting and foreign aid is currently under consideration, facing opposition from some Republicans wary of deep budget cuts and executive overreach. The Senate is expected to vote on this package within the week, with a Friday deadline to forward it to the president.

Additional Legislative Priorities

Alongside the GENIUS Act, the House is set to deliberate the Digital Asset Market Clarity Act, which seeks to delineate the regulatory responsibilities of the Securities and Exchange Commission and the Commodity Futures Trading Commission over digital assets. Lawmakers will also vote on the Pentagon’s fiscal year 2026 funding bill, which proposes an $831.5 billion discretionary budget and a 3.8% pay raise for military personnel. This defense spending measure faces resistance from Democrats concerned about budget priorities.

Meanwhile, the Senate will conduct a confirmation hearing for former Representative Mike Waltz, Trump’s nominee for U.S. ambassador to the United Nations. Waltz is expected to face scrutiny regarding a March incident involving the mishandling of sensitive information, which may complicate his confirmation process.

As the House considers the GENIUS Act and related cryptocurrency legislation, the outcomes could significantly influence the future regulatory landscape for digital assets in the United States.