Senator Ruben Gallego (D-Ariz.) criticized the recent Republican initiative to advance Stubcoin legislation, expressing disapproval over their attempts to push votes before finishing negotiations with Democrats.
“You can’t just marginalize us,” he stated during a discussion with Meidastouch. “You can’t say, ‘We’ll handle this,’ especially when you still rely on our votes. It just doesn’t make sense.”
Meanwhile, eight Democrats who had previously backed Gallego and the Genius Act expressed renewed support for the bill after Senator John Tune (R-S.D.) sought to expedite voting last week.
The Genius Act aims to establish a regulatory framework for cryptocurrencies and stablecoins tied to assets like the US dollar to ensure more stable pricing.
This legislation was initially cleared by the Senate Banking Committee in March, receiving backing from five Democrats, including Gallego, who is the ranking member of the digital assets subcommittee.
However, Gallego and other Arizona Democrats highlighted that they had approached discussions from a place of “bipartisan spirit,” hoping for further refinements to the proposed law.
“Suddenly, the language has changed,” Gallego remarked regarding the new draft circulated Thursday. “They have gone back on some of the agreements we had already made. They didn’t pursue further legislation and just announced the date for a vote.”
Gallego suggested that the intent was to create a dilemma for Democrats, pushing them into a tough voting position.
Gallego and the eight Democrats who withdrew their support raised concerns about insufficient provisions related to money laundering, national security, and other key issues.
“We can’t allow them to pass flawed laws with loopholes that could lead to negative consequences for consumers and investors,” he noted.
“We’re here to collaborate and create a solid bipartisan bill, but don’t try to sideline us—that’s not going to happen,” he added.
