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coinpedia 2025-06-18 05:16:12

U.S. Senate Passes GENIUS Act for Stablecoins

The post U.S. Senate Passes GENIUS Act for Stablecoins appeared first on Coinpedia Fintech News In a historic move, the U.S. Senate has taken its first real shot at regulating cryptocurrency. The newly passed GENIUS Act , focused on stablecoins, is being called a turning point for digital finance. The bill got a 51-23 vote across both parties, making it one of the most significant crypto-related wins in Washington so far. Let’s break down what this means. What Is the GENIUS Act All About? The GENIUS Act (Guiding and Establishing National Innovation for U.S. Stablecoins) lays the groundwork for how stablecoins should be regulated in the United States. In simple terms, the bill makes sure these coins are backed by real money, like U.S. dollars or liquid assets, and sets rules for how big players operate. Any company issuing stablecoins with a market cap above $50 billion will now need annual audits, and foreign issuers will face tighter rules too. Think of it as putting real-world guardrails on digital dollars. Big Companies Face Limits One surprising part? Tech giants like Meta and Amazon will be subject to restrictions unless they meet specific financial and privacy standards. The bill aims to avoid risks that could come from letting huge corporations control massive digital money systems. In fact, stablecoin users now get top legal protection in case the issuing company goes bankrupt, a concept called super-priority status. That means your funds would be first in line to be recovered. Why This Vote Is a Game Changer This is the first time the Senate has passed meaningful legislation on crypto. Lawmakers have tried before but failed due to disagreements. Things changed this time, especially under President Trump, whose administration has openly supported crypto innovation. Experts say the U.S. is now finally catching up with crypto regulation — and even setting itself up as a global leader in this space. What Happens Next? The House of Representatives now has to decide. They could pass their own stablecoin bill, or simply adopt the GENIUS Act. Either way, time is ticking. President Trump wants a stablecoin bill signed before August, and his advisors have already said they would support this one. With the stablecoin market expected to reach $3.7 trillion by the end of the decade, all eyes are now on the House.

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