After months of political back-and-forth, the U.S. Senate may finally be ready to vote on landmark stablecoin legislation next week. The bipartisan bill, officially known as the Guiding and Establishing National Innovation for U.S. Stablecoins (GENIUS) Act, aims to create a national framework for regulating stablecoin issuers — and it’s shaping up to be a big moment for crypto in Washington.
What’s the Deal?
Senators Bill Hagerty (R-TN) and Kirsten Gillibrand (D-NY) have been leading the push. Despite last-minute objections from Democrats — mainly around consumer protection and corporate influence — the bill is now back on track for a potential Senate vote.$BNB
Hagerty is confident:
“Next week, the Senate will make history when we debate and pass the GENIUS Act,” he said in a statement.
Gillibrand was a bit more cautious, calling the bill a product of “true bipartisan effort” and stressing the inclusion of “robust consumer protections.”
What’s in the Bill?
The GENIUS Act sets standards for issuing payment stablecoins — think USDC and USDT, which are core to crypto trading. A few key updates were made recently to address Democratic concerns:
Big Tech Limitations: Companies like Meta would be blocked from becoming stablecoin issuers.$ETH
Consumer Focus: More emphasis on oversight and national security.
Private Company Loopholes?: Critics warn that platforms like Elon Musk’s X could still qualify under the rules.
Why Now?
Stablecoins already play a critical role in the digital asset economy, but there’s still no clear legal framework in the U.S. This bill could change that — and give U.S.-based projects regulatory clarity that’s been lacking for years.$SOL
The Path Forward
The Senate will attempt a second cloture vote on Monday. To move the bill forward, it needs 60 votes — meaning at least some Democrats must get on board. If it passes, expect debate and possibly more tweaks before an actual final vote.
If it clears the Senate, it’ll still need to be reconciled with the House version. That won’t be simple — former President Trump’s crypto ties have stirred friction in negotiations, especially around World Liberty Financial’s rumored stablecoin plans.
Still, after stalling out in previous sessions, this is the closest stablecoin regulation has come to reality in the U.S.
Bottom Line
The GENIUS Act is no guarantee — but it’s the best shot yet at getting federal rules on the books for stablecoins. Next week could be a turning point for U.S. crypto policy.