#GENIUSActPass

What is the GENIUS Act?

Official Name: “Guiding and Establishing National Innovation for U.S. Stablecoins of 2025”

Purpose: Introduces the first-ever US-wide regulatory framework for payment stablecoins—cryptocurrencies pegged to tangible assets like the dollar.

Key Provisions

Payment Stablecoin Definition

Must be pegged 1:1 to U.S. currency, redeemable, and not classified as securities or commodities .

[19/06, 8:51 am] nitinsaini: Reserve Requirements

Issuers must hold high-quality, liquid assets (e.g., Treasuries, bank deposits) equal to the value of coins issued

[19/06, 8:51 am] nitinsaini: Dual-Regulator Oversight

Issuers can choose:

Federal oversight (Comptroller of the Currency, Federal Reserve, or FDIC), especially for large issuers (>$10B), or

State regulation for smaller entities that meet federal standards

[19/06, 8:51 am] nitinsaini: AML, Compliance & Freezing Powers

Full anti-money‑laundering measures, sanctions compliance, and capability to freeze illegal transactions

cointelegraph.com

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Consumer Protection & Audits

Annual audits, safeguards on reserves, prohibition on risky uses of reserves.