U.S. Senate Democrats block industry-backed crypto bill and press limits on Trump

The U.S. Senate's Democratic caucus blocked an industry-backed bill that would have created a new regulatory framework for cryptocurrencies, halting a Republican-led effort that Republicans planned to bring to a vote "today."

Democrats demand tighter curbs on Trump’s crypto activity

Democrats said they opposed the measure partly because it lacked stronger limits on investments by former President Donald Trump. "Trump already earned $1.4 billion in 2025 alone as a crypto speculator," the lawmakers noted, arguing the bill would allow him to continue profiting without meaningful oversight.

Republicans had pushed the proposal as a way to introduce consumer protections and legal clarity for digital assets, but Democrats countered that the industry-drafted text fell short and included troubling side effects.

Senator Elizabeth Warren warned of broader risks, saying: "It's not only the ethics provisions that are problematic; this law would make it easier for terrorist organizations, narco-cartels and rogue states to buy and sell weapons, as well as to bribe government officials — and all of that using cryptocurrencies," said Democrat Elizabeth Warren.

With the Democratic blockade in place, the bill’s fate is uncertain. Supporters say the framework was intended to bring stability to crypto markets; opponents say it would have opened loopholes that could be exploited by bad actors while failing to constrain politically exposed persons.

Lawmakers on both sides now face pressure to either negotiate amendments or restart the process with a new draft that addresses ethics and national-security concerns while still providing a clearer regulatory path for digital assets.

Photo: press material from the event