The Senate approved the GENIUS Act, a bipartisan law, on June 17, creating the first-ever U.S. federal framework for regulating stablecoins - a market valued at approximately $240 billion.
With a majority of 68 votes to 30, the Senate approved bill S.394, introduced by Senator Hagerty with the support of Senators Gillibrand and Scott, which requires stablecoin issuers to maintain full reserves of dollars/Treasuries, conduct regular audits, and comply with strict anti-money laundering oversight.
This legislation brings much-anticipated clarity, enabling American companies like Circle and traditional giants - Visa, Mastercard, and JP Morgan - to deploy stablecoins nationwide. It also restricts foreign competitors like Tether. Critics express concerns about the exemptions granted to presidential family projects and potential regulatory loopholes.
The combined market capitalization of Circle's USDC and Tether's USDT exceeds $200 billion. Sector players and institutions have shown strong interest: Amazon, Walmart, Bank of America, and JP Morgan. Analysts see this as a key driver for broader cryptocurrency integration.
The bill will be referred to the House of Representatives concurrently with the STABLE and CLARITY laws. If its approval and signing by President Trump are expedited before August, this could represent the beginning of a new era for cryptocurrency regulation and financial innovation in the United States.
