The U.S. Senate passes the GENIUS stablecoin bill
=> With a vote of 68-30, the Senate has approved the GENIUS bill, marking a significant step in establishing the first legal framework for stablecoins in the U.S.
⭐️ Highlights of the bill:
- Consumer protection: ensures stablecoins are backed 1:1 by USD or high-liquidity assets, with requirements for regular audits and transparent reporting.
- Strict regulation: large issuing organizations (>10 billion USD) are subject to Fed oversight, while smaller organizations are managed by state or OCC.
- Temporary ban on algorithmic stablecoins: halts the issuance of algorithmic stablecoins until the Treasury completes its risk assessment.
- Strengthening the USD's position: a clear legal framework helps reinforce the role of the USD in the digital economy and promotes financial innovation.
Treasury Secretary Scott Bessent predicts the stablecoin market will reach 3.7 trillion USD by 2030, thanks to the GENIUS bill. He believes a strong stablecoin ecosystem will increase demand for U.S. government bonds, reduce borrowing costs, and give millions of global users access to the USD-based digital economy.
=> The GENIUS bill will continue to be forwarded to the House of Representatives before being presented to President Trump for signing into law.
