#USStablecoinBill The US Stablecoin Bill, also known as the GENIUS Act (Guiding and Establishing National Innovation for U.S. Stablecoins Act), aims to establish a federal licensing and supervisory framework for payment stablecoins and their issuers. Here's what's happening with the bill ¹:

- *Key Provisions*:

- *Permitted Issuers*: Only specific entities can issue stablecoins, including subsidiaries of insured depository institutions, federal qualified nonbank payment stablecoin issuers, and state-qualified payment stablecoin issuers.

- *Reserve Requirements*: Stablecoins must be fully backed by US dollars or high-quality liquid assets like Treasury bills and repurchase agreements.

- *Regulatory Oversight*: The Federal Reserve, OCC, and FDIC have enforcement authority over payment stablecoin issuers.

- *Customer Protection*: Custodial entities must segregate customer assets, prohibit commingling, and file monthly audited reports.

Progress and Challenges

The bill has gained bipartisan support, with Senators Bill Hagerty, Tim Scott, Kirsten Gillibrand, and Cynthia Lummis backing it. However, some Democrats have raised concerns about ²:

- *Money Laundering*: Safeguards against money laundering need to be strengthened.

- *Financial System Protection*: The bill should better protect the financial system.

- *Conflict of Interest*: Democrats are concerned about potential conflicts of interest, particularly regarding Trump-backed World Liberty Financial's stablecoin launch.

Next Steps

The bill is expected to undergo further negotiations and potential amendments before a floor vote. If passed, it could pave the way for a more uniform regulatory framework for stablecoins in the US ³.