Democrats declared a series of “wins” as a new deal came together, including language on foreign issuers and Big Tech. However, President Donald Trump’s heavy investment in cryptocurrency was the biggest flashpoint. His family is launching a stablecoin, while Trump is hosting a dinner this week with major holders of his memecoin.

Sen. Elizabeth Warren (D-MA), ranking member on the Senate Banking Committee, circulated a memo saying the bill, as it stands, would “fuel Trump’s crypto profits” as other Democrats introduced legislation banning presidents from issuing or endorsing digital assets.

However, the conflict-of-interest concerns were not enough to derail the legislation. Sixteen Democrats crossed party lines in a 66-32 vote, beginning what could be a tedious process to pass the bill.
Just two Republicans, Sens. Rand Paul (R-KY) and Jerry Moran (R-KS), were opposed.

The legislation that advanced Monday does not include the tweaks negotiated between the two sides, meaning an amendment will be needed to update the draft bill. Fence-sitting Democrats are also demanding further changes to win their support on the final vote.

Rep. Andy Kim (D-NJ), one of the Democrats who supported the measure in a March committee markup, opposed it on Monday, citing a desire for revised language on illicit financing.

However, he expressed optimism that Sen. Bill Hagerty (R-TN), the lead GOP sponsor, talked through his reservations on the Senate floor.

“I don’t want to speculate where things can go, but the fact that they’re still engaged, even though we’re right there on the floor, I took that as a good sign,” he said.

Sen. Lisa Blunt Rochester (D-DE) took the opposite approach, voting to advance the legislation, but signaled she is not a given without further amendments.

“I think the bill is better. I still have concerns, so I’m going to vote ‘yes’ tonight to allow for an open amendment process,” she told the Washington Examiner, though she declined to elaborate on what changes she is seeking.

Notably, Senate Minority Leader Chuck Schumer (D-NY), who has convened negotiators for repeated meetings in his leadership office, voted against the procedural vote. 

It’s possible the legislation could clear the Senate by the end of the week, in time for the Memorial Day recess, but the more likely outcome is that senators hold a final vote once they return in early June.

“It might go into the week after Memorial Day break,” said Sen. Cynthia Lummis (R-WY), one of the bill’s primary sponsors.

The legislation was drafted to address the so-called legal “gray zone” associated with stablecoins and could serve an economic imperative for the United States, facilitating the use of digital coins that are pegged to the dollar or Treasury bonds.

Ahead of the Senate vote, Senate Majority Leader John Thune (R-SD) called the bill a way to keep the U.S.’s “fiscal house” in order, while its Democratic sponsors argued the stability offered by the regulatory framework should take precedence over concerns about Trump.

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“It’s not perfect, but it’s far better than the status quo,” Sen. Mark Warner (D-VA) said in a statement. “Innovation in this space is happening, with or without us. We have a responsibility to ensure it happens safely, transparently, and in a way that advances U.S. economic and national security interests.”

Lummis said the next step after Senate passage would be to meet with members of the House Financial Services Committee, where similar stablecoin legislation was approved earlier this year.