SEC Chair Paul Atkins welcomes the GENIUS Act, emphasizing it as a crucial advancement for stablecoin markets and innovation.
The GENIUS Act establishes clear rules requiring audits, liquid reserves, and registration for stablecoin issuers nationwide.
Focused on asset-backed stablecoins, the bill excludes algorithmic types, supporting safer, more transparent digital payments.
The GENIUS Act continues to gain traction after SEC Chair Paul Atkins voiced support for the stablecoin bill, calling it “an important step forward for markets, innovators, and payments.”
SEC Chair Supports Stablecoin Regulation Bill
SEC Chair Paul Atkins publicly backed the GENIUS Act this week, marking a rare alignment between the Commission and Congress on digital asset policy. His comments signal growing institutional support for clearer rules in the stablecoin sector. He stated he looks forward to the bill being signed into law.
https://twitter.com/coinbureau/status/1946188423250817146
The GENIUS Act—Guardrails and Enforcement for the Neutral Issuance of U.S. Stablecoins—seeks to establish regulatory clarity for stablecoin issuers. Atkins’ endorsement provides momentum for the bill, reinforcing its goal of combining consumer protection with space for innovation.He also stressed on the need to be transparent and bring about checks and balances in a rapidly changing market.
Atkins’ support adds credibility to the legislation, especially as it aims to provide a national framework for a segment of digital finance that continues to grow in use and value.
Bill Sets Clear Standards for Stablecoin Issuers
The GENIUS Act requires stablecoin issuers to register with a federal or approved state regulator, require that stablecoin issuers maintain high-quality, liquid reserves—such as Treasury bills—submit to routine audits. The purpose of these criteria is to ensure that stablecoins are 1:1 backed, giving users more reliance and stability.
The bill purposely excludes algorithmic stablecoins, such as the now-dead TerraUSD, which collapsed in 2022. By emphasizing asset-backed models, the GENIUS Act attempts to avert similar kinds of disruption in the future. Its structured approach positions it as a potential foundation for digital dollar stability.
With SEC backing now public, the GENIUS Act moves closer to becoming a guiding law for stablecoin regulation in the United States.
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