#USStablecoinBill The U.S. Senate is currently embroiled in a contentious debate over the bipartisan GENIUS Act, a proposed bill aiming to establish the first federal regulatory framework for stablecoins. While the bill initially garnered bipartisan support, recent developments have led to significant opposition, particularly from Senate Democrats.
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š Key Provisions of the GENIUS Act
The GENIUS Act seeks to:
Define "payment stablecoins" as digital assets intended for use in payments or settlements.
Mandate full backing of these stablecoins on a 1:1 basis with U.S. dollars or other approved high-quality liquid assets.
Impose federal standards on permitted stablecoin issuers, including requirements for fully backed reserves, segregation of reserves, monthly certification, and capital and liquidity requirements.
Prohibit rehypothecation of reserve assets.
Classify stablecoins as non-securities under federal law, thereby restricting the SEC from requiring issuers to classify the coins as securities .