#GENIUSAct The Law to Guide and Establish National Innovation for Stablecoins in the United States (GENIUS Act) is a legislative proposal in the United States that seeks to establish a regulatory framework for payment stablecoins.

Here is a summary of what the GENIUS Act is about:

Purpose:

* Regulatory Clarity: The main objective is to create clear rules and regulations for stablecoins in the U.S., which currently lack a comprehensive federal framework.

* Consumer Protection: A key focus is to protect consumers by ensuring that stablecoin issuers have adequate reserves (backed 1:1 by U.S. dollars or short-term Treasury bills), maintain transparency about their reserves, and are subject to regulatory oversight.

* Prevention of Destabilizing Runs: The law includes measures to prevent situations where many stablecoin holders attempt to redeem their holdings at once, which could destabilize the market.