The Democratic Party plans to collectively walk out! Protesting Trump’s support for encryption policies, the encryption hearing is likely to face a boycott.

The U.S. Congress is about to hold hearings on cryptocurrency regulation, but a conference originally aimed at pushing for industry legislation has now taken politics by President Donald Trump's involvement. Democratic lawmakers have criticized Republicans for fueling Trump's ambitions to "monopolize the market" and plan to withdraw en masse at the hearing.

Congressional hearing reveals divisions as Democrats threaten to walk out in protest

According to Politico, the chief Democratic member of the U.S. House Financial Services Committee, California Congresswoman Maxine Waters, plans to join other Democratic members in boycotting Tuesday's joint hearing. This move is seen as a strong backlash against Trump's involvement in the Crypto Assets industry.

The Republican Party releases a draft bill calling for cross-party cooperation and not confrontation.

Despite the Democrats brewing protests, the Republicans are calling for the maintenance of a dialogue mechanism for bipartisan cooperation. A spokesperson for French Hill, the Republican chairman of the House Financial Services Committee from Arkansas, pointed out that since the last Congress, both parties have engaged in multiple "productive" discussions regarding the Crypto Assets market structure bill and hope that Maxine Waters will reconsider. "We encourage Congresswoman Waters to attend tomorrow's hearing to present her views and reconsider her opposition."

"Digital Asset Blueprint" Debuts, Focusing on the Future of Innovation in the United States

The title of this hearing is "The Future of American Innovation and Digital Assets: A Blueprint for the 21st Century," jointly hosted by the House Financial Services Committee and the Agriculture Committee, focusing on how to regulate the encryption industry. The Republican leadership released a draft the day before the meeting (Monday), which is similar to legislative efforts from the past few years, mainly centered on clarifying the regulatory framework and market structure.

( Preview of the new US encryption draft "TBAA"! BTC and ETH are classified as digital goods, and the SEC and CFTC handle staking tokens with divided authority ).

Progress on stablecoin legislation stalled, Democratic senators issue joint statement warning.

In addition to the hearings, the legislative work on stablecoins is also progressing in Congress. However, Democratic senators have expressed strong reservations about the current version of the content. On Saturday, a joint statement signed by 9 Democrats, including Ben Ray Luján, John Hickenlooper, and Adam Schiff, pointed out that there are "multiple unresolved issues" in the draft, and they will not support the current version for a vote. "While we are willing to continue working with our colleagues to address related issues, if the existing version moves to a voting stage, we will be unable to vote in favor of ending the debate (cloture)."

Trump intervenes in the Crypto Assets industry, Democrats criticize the intention to monopolize the market.

The strong reaction from the Democratic Party is not only related to the content of the bill, but also to Trump's recent active involvement in the Crypto Assets field. It is reported that the Trump family is investing in a DeFi protocol and is also associated with several meme coins and NFT projects. Recently, World Liberty Financial, which is linked to Trump, has also launched its own stablecoin, raising alarms among the Democratic Party.

Hill previously pointed out that Trump's involvement in the issuance of meme coins and stablecoins has made the regulatory work of Congress more complicated.

( WLFI airdrop USD1, BitGo launches lock-up staking service, is this paving the way for WLFI to enter the institutional market? )

Waters directly criticized the "King of Crypto" accusing Trump of using coins to amass wealth.

Waters has previously criticized Trump for using Crypto Assets policies as a tool for personal gain. "This committee has voted to make Trump the king of Crypto Assets, allowing him to control the stablecoin market, even kicking George Washington out of the dollar and listing his own stablecoin as legal tender," she stated bluntly in last month's meeting. "Rather than stopping this scam, you have chosen to condone it, Mr. Chairman, we must stop Trump first before we can discuss any Crypto Assets legislation."

(Trump's two cryptocurrency dinners in May: tickets priced at 1.5 million dollars criticized as bribery, Trump retaliates against lawmakers' stock trading behavior)

This article discusses the Democratic Party's plan to collectively walk out! Protesting Trump's support for encryption policies, the Crypto Assets hearing may face a boycott. First appeared on Chain News ABMedia.