US Senate Approves GENIUS Act to Regulate Stablecoins
The US Senate has passed the GENIUS Act, a significant piece of legislation aimed at regulating stablecoins. The bill, which received a 68-30 vote, seeks to establish the United States as a leader in the cryptocurrency market. Senator Bill Hagerty, who introduced the bill, emphasized its potential to streamline payments and provide clarity for stablecoin issuers and users.
Political Controversy and Industry Ties
The bill’s passage was not without controversy. Critics pointed to President Donald Trump‘s connections to the crypto industry, particularly his family’s involvement with World Liberty Financial, a company that launched its own stablecoin. These concerns were not addressed in the final version of the bill, leaving some lawmakers dissatisfied.
Next Steps in the Legislative Process
Attention now turns to the House of Representatives, where the bill may undergo further revisions. The political balance, with Republicans holding a narrow majority, introduces uncertainty about the bill’s future. Concurrently, the House is reviewing the CLARITY Act, which would set clear guidelines for digital asset markets.
Implications for the Stablecoin Market
Treasury Secretary Scott Bessent has projected that the stablecoin market could expand to $3.7 trillion by 2030. The GENIUS Act is expected to influence this growth by creating a regulatory environment that encourages innovation while ensuring market stability.
Key Points About the GENIUS Act
- The GENIUS Act was approved by the US Senate with a 68-30 vote.
- Senator Bill Hagerty championed the bill to enhance US leadership in cryptocurrency.
- Debate continues over President Trump‘s links to the crypto industry.
- The House of Representatives may propose amendments to the bill.
- The stablecoin market is projected to reach $3.7 trillion by 2030.
