The Senate’s attempt to advance a groundbreaking stablecoin bill has failed, leaving the future of US cryptocurrency regulation in limbo. Democrats’ opposition stemmed from concerns about potential ties to former President Trump and lack of robust anti-money laundering provisions. A key factor contributing to the rejection was World Liberty Financial, an affiliate of Trump’s family, which plans to issue a stablecoin with significant international backing. This move ignited Democratic resistance as lawmakers questioned whether the bill would benefit Trump or his associates, ultimately leading to several Democrats withdrawing their support. The bill had previously received approval from the Senate Banking Committee, but its failure to reach the required 60 votes highlights the complexities surrounding cryptocurrency regulation in the US. Lawmakers expressed concerns about money laundering loopholes and restrictions on access for individuals banned from traditional financial systems. The setback follows a push for bipartisan action to establish federal regulations for stablecoins, initially set to be introduced by President Trump before facing mounting opposition.