THE SENATE APPROVES THE GENIUS LAW ADDRESSING CONCERNS ABOUT CORRUPTION IN CRYPTOCURRENCIES

#GENIUSActPass The Senate passed legislation to establish the first regulatory framework for stablecoins, ending prolonged and confusing bipartisan negotiations.

Why it matters: The GENIUS Law, which nearly derailed when Democrats had an internal clash over President Trump's growing cryptocurrency empire, represents one of the rare cases of bipartisan compromise in this Congress.

The Senate voted 68-30 on Tuesday to approve the bill, with two Republicans voting against it.

A small group of Republican and Democratic senators negotiated changes to the legislation over the past month. However, these adjustments did not include provisions aimed at preventing corruption by Trump and other public officials.

Progressives like Senator Elizabeth Warren (Democrat from Massachusetts), who was the most prominent critic of the bill, demanded that Democrats oppose the legislation.

The big picture: The saga of the GENIUS Law underscores how difficult it will be for Congress to regulate the growing cryptocurrency sector in the coming years.

The stablecoin bill was just an initial salvo in a larger and more complex battle that will pose thornier questions for lawmakers, such as market structure.

The approval is also a win for Democrats like Senator Kirsten Gillibrand (D-N.Y.), who helped draft the bill and advocated for its passage despite concerns from the left of the party.