#USStablecoinBill
Introduction to the GENIUS Stablecoin Act
Summary of the National Innovation Directive and Establishment Act for Stable Payment Currencies in the United States (GENIUS), recently introduced by Senator Bill Hagerty (Republican from Tennessee) with bipartisan support to implement a federal regulatory framework for stable payment currencies.
Practical Law of Finance
On February 4, 2025, U.S. Senator Bill Hagerty (Republican, Tennessee), along with Senators Cynthia Lummis (Republican, Wyoming) and Kirsten Gillibrand (Democrat, New York), and Chairman of the House Committee on Banking, Housing, and Urban Affairs Tim Scott (Republican, South Carolina), introduced the "GENIUS" (GENIUS Act) to apply a federal regulatory framework for stable payment currencies. A stablecoin is a cryptocurrency linked to the value of an underlying asset, often a fiat currency like the U.S. dollar. Stablecoins are designed to minimize volatility by maintaining a stable value (i.e., pegged to a specific value) of the underlying asset (such as one dollar). (For more information on stablecoins, see: Stablecoins and Central Bank Digital Currencies (CBDCs): An Overview of the Practical Law).
