#GENIUSActPass The GENIUS Act, which stands for Guiding and Establishing National Innovation for U.S. Stablecoins Act, has passed the Senate with a 68-30 vote. This landmark bill aims to establish a regulatory framework for stablecoins, providing clarity on issuance, reserves and transparency.
*Key Provisions:*
- *Regulatory Framework*: The GENIUS Act establishes a regulatory framework for payment stablecoins, protecting consumers and strengthening national security.
- *Issuance Requirements*: Permitted issuers must be subsidiaries of insured depository institutions or federal/state-qualified nonbank payment stablecoin issuers, subject to federal or state regulation.
- *Backing Requirements*: Stablecoins must be backed 1:1 by U.S. Treasuries, with regular audits and anti-money laundering regulations.
*Implications:*
- *Industry Confidence*: The GENIUS Act is expected to boost industry confidence, with major financial institutions like JPMorgan and Bank of America exploring stablecoin issuance.
- *Global Financial System*: The legislation may solidify the dollar's role in the digital.
The GENIUS Act, which stands for Guiding and Establishing National Innovation for U.S. Stablecoins Act, has passed the Senate with a 68-30 vote. This landmark bill aims to establish a regulatory framework for stablecoins, providing clarity on issuance, reserves and transparency.
*Key Provisions:*
- *Regulatory Framework*: The GENIUS Act establishes a regulatory framework for payment stablecoins, protecting consumers and strengthening national security.
- *Issuance Requirements*: Permitted issuers must be subsidiaries of insured depository institutions or federal/state-qualified nonbank payment stablecoin issuers, subject to federal or state regulation.
- *Backing Requirements*: Stablecoins must be backed 1:1 by U.S. Treasuries, with regular audits and anti-money laundering regulations.
