[Congressional Record Volume 171, Number 77 (Thursday, May 8, 2025)]
[Senate]
[Pages S2830-S2831]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
GENIUS ACT
Ms. WARREN. Mr. President, I rise today to talk about the vote we
just had on the motion to proceed on the GENIUS Act.
Despite promises that the GENIUS Act's fundamental flaws would be
fixed ahead of any vote, we still don't have the new bill text.
Now, many of my colleagues have made clear that they want to improve
this bill and that it is important for Republicans not to jam us. Well,
the Republicans decided to jam us anyway. But the Democrats have power
to say no, and that is exactly what we just did.
The GENIUS Act would establish a new regulatory framework for
stablecoins, a type of cryptocurrency whose value is pegged to the
value of another asset, often, the U.S. dollar. This is a $100 billion
market.
A stablecoin is very similar to a bank deposit. Its value, like the
value of your deposits in a bank account, is supposed to maintain a
stable value. That is why they call it a stablecoin.
But as we have learned throughout history, banking can be a really
risky activity. It requires a robust regulatory and supervisory
framework that protects consumers, that protects our national security,
and that protects the stability of the financial system.
Democrats in the Banking Committee worked hard to improve the GENIUS
Act before, during, and after we had a vote in committee on the bill.
We want to strengthen the guardrails on this new financial product to
make sure that it is safe and reliable.
Democrats--even Democrats who voted for the bill in committee--made
it clear: The bill needs to improve significantly to win their support
on the floor. But this new bill that was introduced last week and
rushed to the floor this week, and that we voted on just today, lacked
those guardrails.
So far, Republicans have refused to adopt changes that would apply
basic consumer protection rules, like the ones the banks and other
financial institutions have to follow so that their customers don't get
cheated; have refused to adopt changes that would make it more
difficult for cartels, terrorists, sanctions evaders, and human
traffickers to use stablecoins to finance illegal activity; have
refused to adopt changes that ensure that stablecoins do not
destabilize our financial system and require taxpayers to bail out
crypto companies when they crash; have refused to adopt changes that
would prevent Big Tech billionaires from using this bill to issue their
own private currencies; have refused to adopt changes that would stop
Donald Trump and his family from corruptly profiting off their new
stablecoin, USD1, which is already the fifth largest stablecoin in the
world and has already been used to cut them in on shady, multibillion-
dollar deals with foreign governments.
So what happened when the Democrats saw the new version of the bill
last week? We stood together, we held firm, and we made clear that we
were not giving them enough votes to get to 60 and move the bill
forward. That brought Republicans back to the negotiation table over
the last several days.
The lead negotiators made clear: Republicans need our votes. We will
not be rushed. We will not be jammed. We will not vote on something
that we haven't even seen. This issue is simply too important.
And that brings us to today. We were asked by the Republicans to take
this vote without ever seeing the text of the new bill. There is no way
for any Senator to know whether the final bill sufficiently protects
consumers, no way to know whether the final bill prevents terrorists in
rogue nations and cartels from using stablecoins to move dirty money
around, no way to know whether the final bill stops Big Tech
billionaires from taking over our money supply, and no way to know
whether the final bill stops President Trump from making billions off
his stablecoin and accepting bribes from foreign nations.
These purported fixes were negotiated behind closed doors, in the
dead of night, and we don't even know for sure what they are. We need
time to evaluate them carefully. This is what it looks like when
Republicans try to jam the Democrats.
But the opportunity for bribery and corruption through a Trump
stablecoin is not hypothetical. It is not like, well, here is something
that might happen. Trump has already shown us right out in public
exactly how to run the corruption play.
It was reported last week that an Abu Dhabi investment firm, MGX, is
using Trump's USD1's stablecoin to finance a $2 billion investment in
Binance, essentially giving Trump a cut of the deal. The firm is
chaired by someone who is referred to in the industry as the ``spy
sheikh'' of the United Arab Emirates and co-owned by G42, a firm with
extensive ties to the Chinese Government.
I do not think that some of my colleagues fully comprehend the scale
of this corruption. Donald Trump and his family have essentially
started their own bank, and money from foreign governments and large
corporations is already pouring in. This is not one of Trump's standard
failed side hustles, like steaks or vodka or his licensing deals. His
stablecoin, USD1, is the fifth largest in the world, and it is only 3
weeks old. He is set to make hundreds of millions of dollars,
potentially billions of dollars, on this undertaking.
If you are seeking pardons, if you want tariff exemptions, if you
want other special favors, you don't need a briefcase of cash pushed
under the table; you can do it conveniently online with Donald Trump's
stablecoin. How can any Senator--Democrat, Republican, or Independent--
endorse that kind of corruption? How can any Senator--Democrat,
Republican, or Independent--facilitate that kind of corruption?
Over the past few months, we as Democrats have too often forgotten we
still have some power, and this is our opportunity to use it. We did
not vote for this bill today. We stood firm, and we demanded
improvements.
I have heard from some of my colleagues that this bill will happen
with or without us, and that is simply not true. We proved it today. I
urge Democrats to continue to use their power and make sure that we
don't sign off on a weak deal, on a bad deal, on a deal that, months
from now or years from now, we say: Oh, that turned out to be a bad
idea.
We can only vote for the GENIUS Act when we have a bill that protects
consumers, that promotes financial stability, that protects our
national defense, and that fights back against Donald Trump's
aggressive and public corruption. We need to stand strong as Democrats,
and if we do, we can get a
[[Page S2831]]
better bill and better serve the people of the United States of
America.
I yield the floor.
The PRESIDING OFFICER. The Senator from Arkansas.
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