#GENIUSActPass
The GENIUS Act, a landmark stablecoin bill, has passed the US Senate with a bipartisan vote of 68-30. This bill, formally known as the Guiding and Establishing National Innovation for US Stablecoins Act, sets clear rules for stablecoin issuers, including.
- *Reserve Requirements*: Stablecoins must be fully backed by US dollars or similarly liquid assets.
- *Audits and Compliance*: Issuers with over $50 billion in market capitalization must undergo annual audits, and comply with anti-money laundering regulations.
- *Consumer Protection*: The bill prioritizes stablecoin holders in bankruptcy proceedings and prohibits algorithmic coins.
The GENIUS Act's passage marks a significant step towards establishing federal regulations for stablecoins, with potential implications for the $3.7 trillion stablecoin market projected by 2028. The bill now moves to the House of Representatives, where it may be reconciled with the STABLE Act, which has different regulatory oversight provisions.
*Key Proponents and Supporters:*
- *Senator Bill Hagerty*: Introduced the GENIUS Act and emphasized its potential to make the US a global leader in cryptocurrency.
- *Senator Kirsten Gillibrand*: Supported the bill despite reservations about Trump's crypto ventures, highlighting its economic benefits.
- *Treasury Secretary Scott Bessent*: Sees the GENIUS Act as a crucial step towards a $3.7 trillion stablecoin market by 2028.
*Next Steps:*
The GENIUS Act will now be considered by the House of Representatives, where a vote is expected in the coming weeks. The outcome will determine whether the bill becomes law or undergoes further revisions.