#GENIUSActPass

The GENIUS Act, short for Guiding and Establishing National Innovation for U.S. Stablecoins Act, has passed the Senate with a 68-30 bipartisan vote. Here's what you need to know

- *What the GENIUS Act does*: The bill aims to regulate stablecoins, a type of cryptocurrency pegged to the value of another asset, like the US dollar. It establishes rules for stablecoin issuers, including segregation of reserves, monthly audits, and minimum liquid capital requirements.

- *Key provisions*:

- *Anti-money laundering and anti-terrorism processes*: The bill requires stablecoin issuers to implement these processes to prevent illicit activities.

- *Regulatory power*: The Department of Treasury, Federal Reserve, Office of the Comptroller of the Currency, and FDIC will have greater regulatory power over stablecoins.

- *Priority in bankruptcy*: Stablecoin owners will be prioritized when a custodian or issuer files for bankruptcy.

- *Impact on the crypto industry*: The GENIUS Act could boost crypto adoption through stronger oversight, but critics warn it may favor industry insiders over everyday investors.

- *Next steps*: The bill now heads to the House for approval, where it will face competition from the STABLE Act. If signed into law, the GENIUS Act would provide clarity and confidence around the use of stablecoins, potentially encouraging wider adoption and industry growth.