The GENIUS Act, which stands for Guiding and Establishing National Innovation for U.S. Stablecoins, passed the U.S. Senate by a significant majority of 68 votes to 30. This bipartisan legislation aims to create a regulatory framework for stablecoins for payments, protect consumers, and enhance national security. Here’s what follows:

- *Key Provisions*:

- *Support for Stablecoins*: Stablecoins must be fully backed by U.S. dollars or similar liquid assets.

- *Audits*: Issuers with a market capitalization exceeding $50 billion will face independent annual audits.

- *Regulatory Oversight*: Regulatory oversight will depend on the issuer's market value, with those under $10 billion able to opt for state-level oversight.

- *Impact*:

- *Market Growth*: Experts expect the law to lead to massive demand for U.S. Treasury bonds and an increase in the size of the stablecoin market.

- *Adoption*: The regulatory clarity provided by the GENIUS Act could lead to broader adoption of stablecoins, enabling instant payments.

- *Next Steps*:

- *House of Representatives*: The bill will move to the House, where lawmakers will need to reconcile the Senate and House versions.