Bipartisan stablecoin legislation failed to overcome a 60-vote filibuster hurdle in the Senate Thursday to begin debate on the so-called GENIUS Act that would establish a regulatory framework for digital coins.

The failed vote presented a stunning setback for the first-of-its-kind measure after last-minute opposition from a bloc of crypto-friendly Democrats derailed what has been months of talks.

The vote failed 48-49 and largely along party lines as the two sides continued ongoing negotiations. 

“The GENIUS Act would implement light-touch and tailored standards for stablecoin issuers so consumers can trust who they’re doing business with,” Senate Majority Leader John Thune (R-SD) said in floor remarks. “Reserve requirements would give consumers confidence in the value of the stablecoins that they hold. And the bill’s enforcement provisions would provide companies with clarity on what the rules are and ensure accountability for any violations.”

Thune later told reporters of Democratic holdouts: “At some point, they’re going to have to take yes for an answer.”

Recommended Stories

• Top DC chemistry group replaces race-excluding scholarship after lawsuit
• Trump welcomes Catholic Church's first American pope: 'Such an honor'
• Bidens hit back against books alleging cover-up of former president's mental decline

The first-of-its-kind legislation would create rules for stablecoins, cryptocurrencies that have a value tied to an underlying asset, such as gold or fiat currency like the U.S. dollar. Democrats want to add language addressing money laundering, foreign issuers, and risks to the U.S. financial system. Lummis has acknowledged the Trump family’s investments were an impediment to negotiations.

Some Democrats want guardrails to prohibit President Donald Trump and his family from profiting off their business ventures in cryptocurrencies. Separate legislation from Senate Minority Leader Chuck Schumer (D-NY) and Sen. Jeff Merkley (D-OR) would do just that and extend to members of Congress.

Gillibrand said she was “very hopeful” and “very optimistic” on the state of ongoing negotiations, as others criticized GOP leadership for plowing ahead with the vote.

CRYPTO LEADERS RACE TO LOCK DOWN STABLECOIN BILL SUPPORT AHEAD OF SENATE VOTE

“There is actual negotiation happening. I think that that negotiation should be allowed to happen and take the time needed to be able to do so,” Sen. Andy Kim (D-NJ) told the Washington Examiner on the eve of the vote. “I see no reason why this vote has to happen tomorrow.”

Lummis and Hagerty are among the Republicans who’ve spent months negotiating language to shore up Democratic support only to also face some 11th-hour heartburn from their side of the aisle. Sen. Josh Hawley (R-MO) had concerns over Big Tech, while others like libertarian Sen. Rand Paul (R-KY) was inclined to oppose from the start.