Catenaa, Tuesday, June 17, 2025-The US Senate is set to vote Tuesday on the GENIUS Act, a major piece of legislation aimed at regulating the fast-growing stablecoin sector, as lawmakers wrestle with concerns over President Donald Trump’s family ties to a leading crypto firm.
The Guiding and Establishing National Innovation for US Stablecoins Act advanced last week with bipartisan support in a 68-30 cloture vote, clearing a key hurdle.
The bill mandates that stablecoins be backed by US dollars or equivalent liquid assets and imposes annual audit requirements for large issuers.
It also bars non-financial tech giants like Meta and Amazon from issuing stablecoins unless they meet strict financial and privacy criteria.
The push toward final passage follows weeks of revisions aimed at satisfying Democratic objections.
Critics initially opposed the bill over concerns tied to foreign issuers, anti-money laundering safeguards, and corporate influence, with particular focus on Trump’s ties to World Liberty Financial, whose stablecoin is now the world’s fifth largest.
In response, lawmakers added provisions to prevent sitting government officials from issuing stablecoins and require annual disclosures for holdings above $5,000.
However, the bill avoids directly targeting the Trump family’s business activities, citing constitutional limitations.
The House is expected to consider adopting the Senate’s version, which has gained momentum as the more politically viable path. A competing House bill remains stalled in committee.
Despite progress on stablecoin regulation, broader crypto legislation remains uncertain ahead of the August recess.
