Current Events > Democrats Cave, Prepare to Rubber-Stamp Trump Crypto Corruption

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Antifar
05/08/25 8:09:09 AM
#1:


https://prospect.org/politics/2025-05-08-democrats-cave-prepare-rubber-stamp-trump-crypto-corruption/
Despite the twists and turns and drama-creation that accompanies political media, most of the actions taken in Congress are actually pretty tightly choreographed with a foregone conclusion. First you find the votes, then you take the votes, as the saying goes. But for a minute, there was a genuinely uncertain situation happening on Capitol Hill, as a handful of Democrats who wanted to give a big gift to the crypto industry had to weigh that against one of the most obvious and insane grifts in presidential history.

Unfortunately, they opted for the big gift, while teeing up a fake stab at accountability for Trump that is designed to fail and give pro-crypto Democrats a convenient alibi.

As we reported on Monday, a bill called the GENIUS Act would set up a relatively weak regulatory framework for stablecoins, digital assets pegged to the U.S. dollar and used mostly to facilitate crypto trading. It was almost destined for success, as a significant number of crypto-friendly Democrats, boosted by campaign contributions from the industry, were all set to sign on. But then reports about Trumps family organization launching a stablecoin, and the United Arab Emirates using it in a $2 billion deal to purchase the digital currency exchange Binance started bubbling up. Suddenly, it seemed like terrible politics for Democrats to effectively rubber-stamp Trumps crypto corruption.

And so nine pro-crypto Democrats vowed to vote against cloture and maintain a filibuster, thus blocking the bill, without changes. Some assumed that asking to address concerns was just a pretext to kill the measure. Others thought that the crypto Dems were just searching for a fig leaf they could use to say that their concerns were addressed and the bill could go forward.

It was the latter.

Sens. Ruben Gallego (D-AZ) and Mark Warner (D-VA) engaged in round-the-clock negotiations with Republicans on the GENIUS Act to get to yes. Earlier on Wednesday, Gallego told MeidasTouch that he wouldnt let Republicans jam us and pass bad legislation without Democratic input. Dont try to fuck us on it, thats not going to happen, Gallego said. But the language was generally based on trying to get a good bill that supposedly protects consumers and investors. Gallego and Warner voted for the initial version of the GENIUS Act in the Senate Banking Committee.

Sens. Gallego and Warner did not respond to requests for comment about the negotiations.

Meanwhile, Democrats engaged in a classic tactic when they want to pass something but the optics are bad: come up with a different bill that will never pass so they can pretend they care. Sens. Chuck Schumer and Jeff Merkley introduced the End Crypto Corruption Act, which would ban the president, vice president, senior officials in the executive branch, members of Congress, and their immediate families from financially benefiting from crypto assets that they issue or endorse, including stablecoins. Its a bill that is surely necessary in the current environment, but it will never get a passing vote from a Republican Senate, and it gives a safety valve to those Democrats who want to pass the GENIUS Act by saying that they support ending crypto corruption.

As a case in point, supporters of the End Crypto Corruption Act include the Democratic sponsors of the GENIUS Act, Sens. Kirsten Gillibrand (D-NY) and Angela Alsobrooks (D-MD), along with senators seen as favorable to crypto bills like Lisa Blunt Rochester (D-DE), Catherine Cortez Masto (D-NV), Andy Kim (D-NJ), Cory Booker (D-NJ), and Elissa Slotkin (D-MI).

Late on Wednesday, Democrats took a deal that will give them a standalone vote on the End Crypto Corruption Act, as an amendment to the GENIUS Act. When that failsand it will fail, because Republicans in the majority are not going to vote to force a divestiture of their presidents crypto empirethey will proceed to a vote on the GENIUS Act.

This gives Democrats on the fence the ability to say that they tried everything they could to stop Trump corruption. But its completely untrue. As Sen. Merkley, who Im sure is sincere in his effort and who wasnt part of this deal, released a statement on Wednesday saying, This is the right moment to have anti-corruption provisions included in the GENIUS Act. Hes right: If Democrats were serious about ending crypto corruption, they could have made those provisions a condition of their votes on the GENIUS Act. Instead they got a worthless amendment and gave away their leverage.

Schumer 101, said one source with knowledge of the process.

The timing of the release of the End Crypto Corruption Act was always suspect, a Trojan horse for senators who want to pass a stablecoin bill. And it certainly did its job. The expectation is that the GENIUS Act will get final votes sometime next week, after whatever other fig leaves are in the text get memorialized in bill language.

There are people who will tell you that Senate Democrats are doing all they can to fight this administration. Those people are liars.

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Solar_Crimson
05/08/25 8:09:42 AM
#2:


Fucking Dems. Useless.

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Ivynn
05/08/25 8:12:18 AM
#3:


Why do Dems fold so much? Is the lack of a spine a requirement or something?

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Antifar
05/08/25 8:13:43 AM
#4:


Ivynn posted...
Why do Dems fold so much? Is the lack of a spine a requirement or something?
Well in this case it's because the crypto industry funds these guys' campaigns.

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Southernfatman
05/08/25 8:17:41 AM
#5:


"How come people don't like and want to vote for us?"

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superbot400
05/08/25 8:19:29 AM
#6:


What pisses me off the most is that Trump getting away with BS that would sink ANY democrat candiate from 1990-2010's.

Trump is more corrupted than the Clintons ever were.


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Robot2600
05/08/25 8:23:32 AM
#7:


I had to apologize to my friend b/c last year I stood up for Democrats but they really are as feckless as he was saying...

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SpawnShadow
05/08/25 8:30:10 AM
#8:


Fucking cowards and sellouts. Hope your thirty pieces of silver were worth it.

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Frolex
05/08/25 8:40:22 AM
#9:


look at my opposition party dawg

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ai123
05/08/25 8:43:58 AM
#10:


Nice to know that there are Democrats who make a point of being in favour of money laundering, human trafficking, and the untraceable purchase of CP.

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Enclave
05/08/25 9:05:20 AM
#11:


Ivynn posted...
Why do Dems fold so much? Is the lack of a spine a requirement or something?

Decades of milquetoast liberalism. They'd rather please their donors rather than their constituents. Progressives have been pointing this out for ages, its taken the liberals bowing down to fascists for most people to start noticing for some reason.

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creativerealms
05/08/25 9:07:51 AM
#12:


Most Dems are just as greedy as Republicans.

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Extreme_light
05/08/25 9:08:21 AM
#13:


Primary them all

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Goldice
05/08/25 9:09:27 AM
#14:


Ivynn posted...
Why do Dems fold so much? Is the lack of a spine a requirement or something?

It's because in this case the Democrats in question receive generous campaign contributions from crypto companies and prefer to keep receiving those funds

It's not that they're folding. It's that they don't care about trump's grifting compared to donation line goes up. It's not a fold if you were never going to fight to begin with

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Kami_no_Kami
05/08/25 9:11:12 AM
#15:


We need a new (real) left-wing party. This shit is ridiculous.
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GrandConjuraton
05/08/25 9:26:26 AM
#16:


"Dems cave"

Must be a day that ends on y.

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Mearcstapa
05/08/25 9:28:33 AM
#17:


Crypto needs to die

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BewmHedshot
05/08/25 11:09:50 AM
#18:


Crypto shouldn't even be an "industry" there's no product.
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Srk700
05/08/25 11:23:48 AM
#19:


Ivynn posted...
Why do Dems fold so much? Is the lack of a spine a requirement or something?

Being spineless seems to be a requirement for almost every US politician. Only difference is that Republicans have to give theirs away to Trump, while the Dems dont have one to begin with. Theres a select few that manage to have some success while having a spine, but the vast majority of them dont have one.
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#20
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Scardude
05/08/25 11:54:07 AM
#21:


The funniest thing you Americans could do in the primaries is vote for an independent across all states without the two party in charge. That day will be history.

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#22
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Starks
05/08/25 12:18:05 PM
#23:


USDC was our best chance at a trustworthy stablecoin. This will ruin everything in favor of USD1 from Trump.

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Metal_Gear_Raxis
05/08/25 12:19:08 PM
#24:


Genuinely I'm this close to just refusing to vote for Dems in federal elections anymore. I'm so goddamn sick of this fucking party.

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realnifty1
05/08/25 1:29:40 PM
#25:


9 out of 45 Democrats versus 53 out of 53 Republicans.
Yes, surely these Democrats have gone too far, things will be much better once I allow the Republicans to have all the votes.
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#26
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Doe
05/08/25 1:44:51 PM
#27:


[LFAQs-redacted-quote]

Probably referring to the people saying they may never vote Democrat again

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Hexenherz
05/08/25 1:50:57 PM
#28:


Ivynn posted...
Why do Dems fold so much? Is the lack of a spine a requirement or something?
It's because they share the mechanisms of power with the GOP, so they have everything to gain from passing these acts. Conversely, they have a lot to lose from trying to put up meaningful resistance against a guy who is deporting US citizens, acting in contempt of court decisions, and appointing people who have openly stated they want to have public executions of "radical leftist extremists" aka anyone who doesn't support their hateful agenda.

Doing the morally correct thing is scary when you realize so many people in your own group are just going to run to the other side any chance they can to earn a few bucks.

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hmnut7
05/08/25 1:53:05 PM
#29:


Look I will happily take the worst democrat over the best republican.

But my God do I hope the majority of Dems are primaried and we get some actual Democrats with backbones in office.

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Sayoria
05/08/25 1:56:51 PM
#30:


Its wtf ever at this point. I dont fall for this and I no longer feel empathy for jackasses who do. Just those who are too old to really understand it. Anyone else, you deserve to lose your money.

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Board_hunter567
05/08/25 2:09:48 PM
#31:


Ivynn posted...
Why do Dems fold so much? Is the lack of a spine a requirement or something?
Money

realnifty1 posted...
9 out of 45 Democrats
If 3 of the 9 were out sick you can bet 3 previously opposed Dems would flip.

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Doe
05/08/25 2:10:41 PM
#32:


Board_hunter567 posted...
Money

If 3 of the 9 were out sick you can bet 3 previously opposed Dems would flip.
They only needed 7

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Board_hunter567
05/08/25 2:15:00 PM
#33:


Doe posted...
They only needed 7
Then we'd see 1 flip. Point is it's theater and corruption all the way down.

Obligatory "I'm not saying Dems are just as bad as Repubs only that Dems are not infallible in that they can be, and often are, objectively wrong on a lot of issues.

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Antifar
05/08/25 6:59:14 PM
#34:


Hexenherz posted...
Conversely, they have a lot to lose from trying to put up meaningful resistance against a guy who is deporting US citizens, acting in contempt of court decisions, and appointing people who have openly stated they want to have public executions of "radical leftist extremists" aka anyone who doesn't support their hateful agenda.
Nobody put a gun to their heads and made them be Senator. If they're afraid to do their jobs, they should quit those jobs and make way for people who aren't.

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Umbreon
05/08/25 7:01:52 PM
#35:


Bought opposition.

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thronedfire2
05/08/25 7:03:12 PM
#36:


Ivynn posted...
Why do Dems fold so much? Is the lack of a spine a requirement or something?

they don't actually care about their constituents until election time

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Sandalorn
05/08/25 7:05:56 PM
#37:


Dems are better than Repugs in almost every situation but if it is about money...there really is no difference.
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action52
05/08/25 7:27:40 PM
#38:


Sandalorn posted...
Dems are better than Repugs in almost every situation but if it is about money...there really is no difference.
But 100% of Republicans voted for it and only 20% of Democrats did.

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Enclave
05/08/25 7:34:09 PM
#39:


action52 posted...
But 100% of Republicans voted for it and only 20% of Democrats did.

Have you noticed when it comes to stuff like this you roughly get just enough Dems to vote for something to pass? Same applies of course to Republicans when it's Dems in control but it's something Republicans like.

A lot of the people voting no are doing so strategically so they can claim they're against something they're not and are only voting no because they already know there's enough yes votes for something to pass.

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action52
05/08/25 8:31:57 PM
#40:


Enclave posted...
Have you noticed when it comes to stuff like this you roughly get just enough Dems to vote for something to pass? Same applies of course to Republicans when it's Dems in control but it's something Republicans like.

A lot of the people voting no are doing so strategically so they can claim they're against something they're not and are only voting no because they already know there's enough yes votes for something to pass.

It seems like you're basing this on your selective memory of this being a pattern in a vaguely defined category of "stuff like this." It doesn't seem like you have any actual evidence to suggest that more democrats support this, let alone more than half of them.

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Enclave
05/08/25 8:34:56 PM
#41:


action52 posted...
It seems like you're basing this on your selective memory of this being a pattern in a vaguely defined category of "stuff like this." It doesn't seem like you have any actual evidence to suggest that more democrats support this, let alone more than half of them.

I'm sure the long history of unpopular bills among the general population but popular among capital barely scraping by just doesn't matter and is just purely coincidental.

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action52
05/08/25 9:42:19 PM
#42:


Enclave posted...
I'm sure the long history of unpopular bills among the general population but popular among capital barely scraping by just doesn't matter and is just purely coincidental.
I never said it was a coincidence. I just don't buy that there's this conspiracy where large numbers of democrats are pretending to oppose these bills while secretly supporting them.

I think the democrats are a lot more pro business than I'd like, overall. Especially when the Republicans are so blatantly corrupt and willing to give corporations everything they want and more.

I think there is a minority of Democrats that supports even the worst pro-corporate legislation the way all Republicans do. It sucks that even they are part of the Democrats, but there is still a massive difference between the two parties.

You suggest this legislation is unpopular... Is it? I don't like it, and at the very least think we need much stricter regulation on it, but I don't know if the general public agrees with me. It seems like the people who don't understand crypto enough to have any opinion and the people who support crypto because they hope it can make them rich someday outnumber the people who actually oppose it.

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ultimate_reaver
05/08/25 9:44:55 PM
#43:


democrats have no spine, everyone with two brain cells to rub together knows this

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Enclave
05/08/25 9:53:07 PM
#44:


action52 posted...
I never said it was a coincidence. I just don't buy that there's this conspiracy where large numbers of democrats are pretending to oppose these bills while secretly supporting them.

I think the democrats are a lot more pro business than I'd like, overall. Especially when the Republicans are so blatantly corrupt and willing to give corporations everything they want and more.

I think there is a minority of Democrats that supports even the worst pro-corporate legislation the way all Republicans do. It sucks that even they are part of the Democrats, but there is still a massive difference between the two parties.

Oh I'm quite sure it's more than just a minority. Dems may be a hell of a lot better than Republicans when it comes to the blatant corruption but you see it all the time how pro-capital the Dems are when they're in power and you also see it in who they put into leadership positions, it's often based on how much funding they bring in which typically comes from large donors rather than grassroots funding.

action52 posted...
You suggest this legislation is unpopular... Is it? I don't like it, and at the very least think we need much stricter regulation on it, but I don't know if the general public agrees with me. It seems like the people who don't understand crypto enough to have any opinion and the people who support crypto because they hope it can make them rich someday outnumber the people who actually oppose it.

Crypto is definitely not popular. It's a minority of people who even have a crypto wallet and among people who have a crypto wallet you don't even have universal approval of crypto.

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Unknown5uspect
05/09/25 9:51:29 AM
#45:


https://gamefaqs.gamespot.com/a/forum/7/77ef11e6.jpg

And yet none of the Dems voted for the bill.

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Doe
05/09/25 9:52:49 AM
#46:


Doomers BTFO?

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MaxEffingBemis
05/09/25 10:03:49 AM
#47:


Unknown5uspect posted...
https://gamefaqs.gamespot.com/a/forum/7/77ef11e6.jpg

And yet none of the Dems voted for the bill.
That means they came to their senses. Good

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The_Popo
05/09/25 10:24:01 AM
#49:


https://gamefaqs.gamespot.com/a/forum/4/4462119d.jpg

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Doe
05/09/25 10:34:34 AM
#50:


Antifar posted...
They voted for cloture allowing it to pass the filibuster before voting against the bill itself, which only required a 50 vote majority. It's precisely the sort of procedural chicanery that the author is deriding, and if you'll recall also the move they pulled on the budget in March.

If they wanted to prevent it from passing, they could have.
I don't know what deal they may or may not have came to with the Republicans who didn't vote yes, but that pic shows the bill failed. 48-49.


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Enclave
05/09/25 11:38:05 AM
#51:


Good, surprise win.

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