Senate makes shocking move on new stablecoin bill.
In a landmark move, the U.S. Senate has advanced the GENIUS Act—a bill poised to reshape the regulation of stablecoins like Tether (USDT) and USD Coin (USDC). Passed with a 66-32 vote, the legislation introduces federal oversight, mandating full reserve backing, regular disclosures, and stringent anti-money laundering measures for stablecoin issuers.
The bill's progression has sparked significant market reactions, with Bitcoin climbing 2.2% to $105,380, and other cryptocurrencies like Ether, XRP, and Solana experiencing gains between 1.4% and 5.5% . However, the GENIUS Act has not been without controversy. Critics, including Senator Elizabeth Warren, argue that the bill lacks sufficient safeguards against potential misuse by tech giants and foreign entities.
Despite these concerns, proponents view the GENIUS Act as a critical step toward integrating stablecoins into the mainstream financial system, potentially enhancing the U.S. dollar's competitiveness in the digital age. As the bill moves forward, its impact on the crypto landscape will be closely watched.