Key Crypto Bill Imperiled By Trump Crypto Firm’s Deal With Emirati State-Owned Fund

A U.S. Senate bill aimed at establishing a regulatory framework for stablecoins, known as the GENIUS Act, faced a significant setback as some Democrats withdrew their support. This decision came after concerns about a potential conflict of interest involving the Trump family's crypto firm, World Liberty Financial, which is partially owned by the Trump family and was recently involved in a substantial investment deal with MGX, backed by Abu Dhabi. The bill, which requires support from both parties to break a filibuster, now struggles to gain the necessary Democratic backing.
The withdrawal of support by nine Senate Democrats, including four who initially backed the bill in committee, was influenced by fears of foreign influence and potential violations of anti-corruption norms. The involvement of the Trump family's firm in a deal with MGX, chaired by a UAE national security advisor, raised alarms about national security and ethical standards. Senators Jeff Merkley and Elizabeth Warren have called for a government ethics probe into the deal, highlighting concerns of a quid pro quo and potential constitutional violations, thus complicating the broader efforts to regulate the crypto industry in a bipartisan manner.
RATING
The news story provides a detailed and timely examination of the intersection between cryptocurrency regulation and political interests, focusing on the Trump family's involvement in World Liberty Financial and the potential implications for the GENIUS Act. It is well-sourced, drawing on reputable publications and direct quotes from involved parties, which lends credibility to its claims. However, the story leans towards the perspective of the critics, with limited representation of the bill's supporters or the broader crypto industry's viewpoint. While the article is clear and accessible, some technical financial and legislative details could be further clarified for readers. Overall, the story effectively highlights significant public interest issues and has the potential to influence public discourse and policy discussions, although some claims require additional verification to ensure complete accuracy.
RATING DETAILS
The story presents several factual claims that are largely verifiable, such as the withdrawal of support for the GENIUS Act by some Senate Democrats and the involvement of the Trump family in World Liberty Financial. The article accurately identifies key figures like Senators Jeff Merkley and Elizabeth Warren, who have raised concerns about potential conflicts of interest. However, some claims, such as the exact ownership percentage of World Liberty Financial by the Trump family and the specific details of the MGX investment, require further verification. The story's accuracy is supported by references to credible sources like The New York Times, but the complexity of the financial and political details necessitates careful cross-checking to ensure precision.
The article predominantly presents the perspective of those opposing the GENIUS Act due to conflict-of-interest concerns. It includes quotes from Democratic senators and mentions their apprehensions about the Trump family's involvement in crypto ventures. However, the story could benefit from a more balanced viewpoint by incorporating perspectives from supporters of the GENIUS Act or representatives from the crypto industry who might argue for the bill's necessity. The inclusion of a statement from a World Liberty Financial spokesperson helps to some extent, but the overall narrative leans towards the critics' viewpoint, potentially omitting the rationale behind the bill's initial bipartisan support.
The article is generally well-structured and uses clear language to convey complex financial and political issues. It logically progresses from the key facts to the criticisms and the background, making it accessible to readers with varying levels of familiarity with the subject. The inclusion of direct quotes enhances the narrative's clarity, providing firsthand insights into the motivations and concerns of the involved parties. However, some technical terms related to cryptocurrency and legislative processes could be further clarified for readers who may not be well-versed in these areas.
The article cites reputable sources such as The New York Times and includes statements from prominent political figures, lending credibility to its claims. The spokesperson for World Liberty Financial is also quoted, providing a direct response to the allegations. However, the reliance on a limited number of sources could be expanded to include more diverse voices, such as independent financial analysts or other industry experts, to enhance the depth and reliability of the reporting.
The story is transparent about the sources of its information, clearly attributing quotes and claims to specific individuals and publications. It provides context for the conflict-of-interest concerns and the potential implications of the MGX investment. However, the article could improve transparency by offering more detailed explanations of the financial mechanisms involved in the GENIUS Act and the specific provisions that have raised alarm among the senators. This would help readers better understand the basis for the concerns and the potential impact on the financial system.
Sources
- https://www.coindesk.com/news-analysis/2025/05/05/trumps-ties-make-cryptos-democrat-allies-stomp-brakes-on-bills
- https://www.theblock.co/post/353051/senate-democrats-reversal-on-us-stablecoin-bill-throws-future-of-legislation-into-doubt
- https://www.bankless.com/read/key-democrats-pull-support-from-senate-stablecoin-bill
- https://www.benzinga.com/markets/cryptocurrency/25/05/45187736/elizabeth-warren-slams-shady-deal-involving-trump-family-backed-usd1-as-democrats-withdraw-support-for-senarte-crypto-bill
- https://www.ainvest.com/news/senate-democrats-withdraw-support-stablecoin-bill-aml-concerns-2505/
YOU MAY BE INTERESTED IN

"Lawmakers twiddle their thumbs": Trump administration rants as Democrats stop crypto bill
Score 5.2
Crypto bill faces Senate pushback because of Trump conflicts
Score 7.2
Trump's massive corruption, Part Deux: So much more bigly this time!
Score 4.4
Concerns over Trump's crypto deals push Democrats to block stablecoin bill
Score 6.6