The U.S. House Committee on Financial Services and the House Committee on Agriculture will be getting ready to hold a joint hearing titled “American Innovation and the Future of Digital Assets: A Blueprint for the 21st Century” today.
This hearing will cover the main legislation for the regulation of cryptocurrency, specifically stablecoins and the market structure, according to Protos.
These legislations were supposed to come out within the first 100 days of the administration but are being delayed. However, internal disputes among the Democrats may threaten to derail the hearing.
Representative Maxine Waters, a leading Democrat, is reportedly planning to object. She’s worried about the potential conflict of interest involving President Donald Trump and his involvement with crypto affairs.
Waters and other Democratic members have spoken out against the stablecoin bill and Trump’s cryptocurrency ventures, including the TRUMP coin, which critics argue could personally profit Trump and his family.
She went as far as to say, “If there is no effort to block the President of the United States of America from owning his stablecoin business, I will never be able to agree on supporting this bill.”
The GENIUS Act, which would regulate stablecoins in the U.S., passed a key committee vote with support from several pro-crypto Democrats. However, despite the bill’s passage, these lawmakers, including Senators Ruben Gallego and Mark Warner, are now reconsidering their positions.
On May 3, four of the senators who previously supported the bill released a joint statement that they do want to go on with the bill. They emphasized the need for stronger provisions on anti-money laundering and national security.
They wrote, “The bill, as it currently stands, still has numerous issues that must be addressed,” but did not explicitly mention corruption or Trump’s crypto dealings.
According to a source familiar with the situation, Waters and others intend to walk out of the hearing, which would prevent it from proceeding since House rules require all committee members to be present.
Waters has made clear her opposition to Trump’s crypto ventures, calling them “the worst of crypto.” She also accused the president of enriching himself at the expense of the public.
Also Read: FOMC Meeting May 7: What it Means for Bitcoin and Crypto
