Catenaa, Wednesday, June 18, 2025- The US Senate passed the bipartisan GENIUS Act Tuesday, marking a significant milestone in federal cryptocurrency regulation and paving the way for the House of Representatives to act on stablecoin legislation.
The Guiding and Establishing National Innovation for US Stablecoins (GENIUS) Act passed by a 68-30 vote, making it the first major crypto bill approved by the Senate.
It sets stringent standards for dollar-pegged stablecoins, requiring full backing by US dollars or liquid equivalents and annual audits for issuers with market caps exceeding $50 billion.
The legislation represents a legislative win for President Donald Trump’s administration, which has pushed for a regulatory framework to support cryptocurrency growth. Treasury Secretary Scott Bessent said the bill could help stablecoins grow into a $3.7 trillion market by 2030.
The bill bars tech giants like Meta and Amazon from issuing stablecoins unless strict conditions are met. It also provides “super-priority” bankruptcy protection for stablecoin holders and shields bank depositors from competing claims.
Concerns from Democrats centered on foreign issuance, anti-money laundering gaps, and Trump’s crypto affiliations, notably the launch of a Trump-linked stablecoin through World Liberty Financial.
Now, the House must decide whether to adopt the Senate’s bill or move forward with its own version passed by the Financial Services Committee. Trump has called for a final stablecoin bill on his desk by August.
White House advisors said they would recommend Trump sign the GENIUS Act into law in its current form.
