Senate blocks crypto regulation amid Trump investment controversy

Senate blocks cryptocurrency regulation as Democrats push back on Trump investments

Senate Democrats on Tuesday blocked legislation to create a new regulatory framework for cryptocurrency, stalling an industry-backed effort to place new guardrails around digital assets after demanding more limits on President Donald Trump's investments.

The 49-50 vote on whether to move forward with the legislation was a pivotal election-year test for the US $2.3 trillion cryptocurrency market as the industry has pushed aggressively for a uniform set of rules.

The Senate debate came as cryptocurrency companies have become a major political force, and as Trump has amassed significant wealth in crypto while in office.

"Let's make sure that we do not pass a crypto bill that will let Donald Trump continue to rake in billions of dollars in crypto profits while working families across this country struggle to deal with higher prices and an economy that gets worse by the day," said Massachusetts Sen. Elizabeth Warren, the top Democrat on the Senate Banking Committee.