On June 17, 2025, the U.S. Senate passed the 'GENIUS Stablecoin Act' by a vote of 68 to 30, establishing a federal regulatory framework for the first time. The act requires stablecoins to be backed 100% by cash, short-term U.S. Treasury securities, and other high-quality assets, and it prohibits algorithmic stablecoins and yield-bearing products. The legislation adopts a tiered regulatory approach (federal oversight for amounts over $10 billion), clarifies that stablecoins are not securities or commodities, and strengthens bankruptcy protection and anti-money laundering provisions. This move aims to consolidate the digital dominance of the U.S. dollar and is expected to drive a surge in demand for U.S. Treasury securities, but the controversy focuses on the high barriers for small businesses and potential conflicts of interest related to Trump-affiliated enterprises.