#GENIUSActPass The GENIUS Act, also known as the Guiding and Establishing National Innovation for US Stablecoins Act, has passed the US Senate with a 68-30 vote, marking a significant step towards regulating stablecoins. Here's what's next and what the bill entails ¹ ²:

- *Key Provisions*:

- *Full Reserve Backing*: Stablecoins must be fully backed by US dollars or similarly liquid assets.

- *Annual Audits*: Issuers with over $50 billion in market capitalization must undergo annual audits.

- *Compliance Rules*: Foreign entities like Tether must comply with regulations.

- *Ban on Interest-Yielding Stablecoins*: The bill prohibits stablecoins that generate interest.

- *Next Steps*:

- *House Vote*: The bill will now be voted on in the House of Representatives, where it may face reconciliation with the STABLE Act.

- *Potential Law*: If passed, the bill will establish a comprehensive federal framework for fiat-backed stablecoins.

- *Impact*:

- *Market Growth*: The bill's passage could lead to significant market growth, with projections of a $3.7 trillion stablecoin market by 2028.

- *US Dollar Dominance*: The GENIUS Act aims to regulate stablecoins and potentially increase demand for US Treasury bonds.

The bill's passage marks a significant moment for the digital asset industry, with potential implications for the future of stablecoins and cryptocurrency regulation in the US ².