#GENIUSActPass
The US Senate has passed the GENIUS Act, a landmark bill regulating stablecoins, with a 68-30 vote. This legislation marks a significant step toward establishing federal rules for stablecoin issuers, requiring them to maintain full backing of US dollars or similarly liquid assets.
*Key Provisions of the GENIUS Act:*
- *Reserve Requirements*: Stablecoin issuers must maintain 1:1 dollar-backed reserves.
- *Audits and Disclosures*: Monthly disclosures and audits are mandatory for issuers.
- *Consumer Protection*: The bill includes safeguards to protect consumers and prohibits algorithmic coins.
- *Regulatory Oversight*: The Treasury Secretary will have authority over this new framework.
*What's Next:*
- *House of Representatives*: The bill will now be considered by the House, which may vote on the GENIUS Act or push its own STABLE Act.
- *Potential Impact*: The GENIUS Act could facilitate the growth of the stablecoin market, projected to reach $3.7 trillion by 2028.
*Reactions:*
- Senator Bill Hagerty, a key proponent of the bill, stated that the GENIUS Act will help the US become a global leader in crypto.
- Treasury Secretary Scott Bessent believes the bill's passage will increase the likelihood of a $3.7 trillion stablecoin market by 2028.