#GENIUSAct stablecoins, distinguishing them from securities or commodities, and sets clear guidelines for their issuance. Key provisions include requirements for stablecoins to be fully backed by liquid, high-quality reserves, segregated from operational funds, and subject to regular audits. It establishes a dual oversight system, with federal regulation for larger issuers (over $10 billion in market capitalization) and a pathway for state-level regulation for smaller ones, provided state rules meet federal standards. The bill also includes robust anti-money laundering (AML) and consumer protection measures, such as prioritizing stablecoin holders in insolvency proceedings and prohibiting misleading marketing. Ultimately, the GENIUS Act seeks to foster innovation in the crypto space while mitigating risks and establishing the U.S. as