Conservative activist CJ Pearson said this week that Democrats and big banks are plotting to undermine President Donald Trump’s crypto-friendly policies as the Senate prepares to consider a digital asset bill.
Pearson singled out Sen. Katie Britt (R-Ala.) as a key figure in the Republican Party’s innovation advocacy, calling her a “key player” in efforts to protect consumer choice and economic freedom.
At issue are stablecoins, which are digital tokens pegged 1:1 to the dollar. Supporters argue that the token will act like digital cash, speeding up transactions and strengthening the dollar’s global role as commerce moves on-chain.
Last year, Congress passed the bipartisan GENIUS Act with support from Trump, Britt and fellow Alabama Republican Sen. Tommy Tuberville. The measure created a stablecoin regulatory framework and allowed cryptocurrency platforms to offer digital rewards programs similar to airline miles.
Pearson argues that these gains are now under threat. Big banks and some Democratic lawmakers want to curb or eliminate cryptocurrency-based rewards, arguing that digital assets could siphon deposits from traditional banks and pose systemic risks. Conservatives counter that the push is aimed at protecting deep-seated economic interests.
The debate has further flared up as the Senate Banking Committee prepares to mark up a broader market structure bill, resuming debate over stablecoin rules and whether Congress will revisit incentives already settled in the GENIUS Act. Pearson said reviewing these provisions would create uncertainty for innovators and regulators.
Proponents argue that the program benefits consumers, fosters competition and keeps digital commerce pegged to the dollar. Critics say tighter oversight is needed before incentives are expanded.
Britt’s support for the GENIUS framework, which calls for clear and permanent rules that foster innovation without exposing consumers and the financial system to abuse, has placed him at the center of the Republican response.