#USStablecoinBill

The U.S. Congress is currently deliberating on the GENIUS Act (Establishing National Innovation for U.S. Stablecoins Act of 2025), a bipartisan bill aimed at creating the nation's first comprehensive regulatory framework for stablecoins. Introduced by Senator Bill Hagerty (R-TN) and co-sponsored by Senators Kirsten Gillibrand (D-NY), Cynthia Lummis (R-WY), and Angela Alsobrooks (D-MD), the legislation seeks to define "payment stablecoins" and establish clear guidelines for their issuance and oversight.

Key Provisions of the GENIUS Act:

🔺Definition and Backing Requirements: The bill defines "payment stablecoins" as digital assets intended for payment or settlement purposes. It mandates that these stablecoins be fully backed on a 1:1 basis with U.S. dollars or other approved high-quality liquid assets, such as Treasury bills and repurchase agreements.

🔺Issuer Categories: Stablecoins could be issued by a "permitted payment stablecoin issuer" (PPSI), which may include subsidiaries of insured depository institutions, uninsured depository institutions, or nonbank entities.

🔺Regulatory Oversight: Depending on the type of issuer and the volume of stablecoins issued, regulation and supervision could occur at the federal level, state level, or both.🎉🎉