#GENIUSActPass

The GENIUS Stablecoin Act has passed the US Senate with a bipartisan vote of 68-30. This landmark legislation establishes a federal framework for stablecoin issuers, requiring them to maintain one-to-one reserves with liquid assets like US dollars or Treasuries. The bill aims to regulate the $230 billion stablecoin market, potentially expanding it to $2 trillion by 2028, and accelerate blockchain adoption.

*Key Provisions:*

- *Reserve Requirements*: Stablecoin issuers must maintain one-to-one reserves with liquid assets.

- *Anti-Money Laundering*: Issuers must implement anti-money laundering measures and conduct regular audits.

- *Consumer Protections*: Coin holders are prioritized for repayment in case of issuer bankruptcy.

- *Prohibited Activities*: Yield-bearing stablecoins are barred to reduce risk.

*Impact:*

The GENIUS Act could significantly impact the stablecoin market, providing regulatory clarity and enhancing consumer protection. It may also extend US dollar dominance online and open doors for banks and fintech firms to issue government-approved digital dollars.