Senate Majority Leader John Thune’s pledge to return the Senate to “regular order” is about to face a major test, with one of President Donald Trump’s top financial policy priorities on the line.
After months of chaotic negotiations in the Senate, landmark cryptocurrency legislation that would create a regulatory framework for stablecoins finally appears to have the votes to clear the chamber. But a contentious battle over credit card swipe fees — what processors like Visa, MasterCard and American Express charge merchants for the ability to use their payment networks — is now threatening to blow the effort up.
Thune’s promise to allow an open amendment process has raised the possibility of an amendment vote on divisive legislation that seeks to force payment networks to compete on swipe fees.
The credit card measure, long championed by Sens. Dick Durbin (D-Ill.) and Roger Marshall (R-Kan.), is a fraught policy battle that pits two powerful lobbying forces — the financial sector and major retailers — against one another.
Crypto supporters, who are within spitting distance of their biggest win ever in the Senate, are scrambling to prevent the credit card provision from derailing their stablecoin bill. It is unclear how a vote on the Durbin-Marshall provision would go: Most senators haven’t taken a position on the matter.
But the fear for pro-crypto lawmakers is that it could garner enough support to be adopted as an amendment with backing from most Democrats and some Republicans — and then tank the underlying stablecoin bill by peeling off GOP senators who oppose the credit card amendment.
“It’s a deal-killer,” said Sen. Thom Tillis (R-N.C.), who supports the stablecoin legislation but said he will try to “kill the bill” if the credit card legislation is attached. “If it goes in it, the value out of the stablecoin components would not outweigh the damage done by [Durbin-Marshall].”
It is uncertain if the swipe fee crackdown will ultimately get a vote. The issue is likely to come to a head this week as GOP leaders look to move the bill toward final passage. Further procedural votes could come this week, but the timing of a vote on final passage will depend on whether they can get a deal on amendments.
“I’m hoping that we can finish up this legislation in the very near future,” Thune said Monday.
The credit card provision is the biggest outstanding question. Durbin and Marshall have been pushing for years to force a vote or attach it to must-pass legislation, and they have failed every time.
Marshall has filed his bill as an amendment to the stablecoin legislation. But asked prior to Congress’ Memorial Day recess whether he will seek to force a vote on the measure, he said he has “not decided what to do.”
