In a landmark decision for the cryptocurrency industry, the US Senate has passed the GENIUS Act, a pivotal piece of legislation aimed at regulating stablecoins, with a strong bipartisan vote of 68-30. This bill marks the first major federal framework for dollar-pegged digital assets, setting a precedent for future crypto regulations in the United States.
The GENIUS Act, which cleared the Senate on June 17, 2025, establishes critical guidelines for stablecoin issuers, including mandates for full USD backing and regular audits. It aims to ensure stability and transparency in the rapidly growing stablecoin market, which is valued at over $239 billion.
Under the new legislation, oversight will be divided between federal and state authorities, with the Federal Reserve supervising larger issuers and states handling smaller entities. Additional provisions include anti-money laundering (AML) rules and restrictions on non-financial firms issuing stablecoins, addressing concerns over systemic risks.
The bill now moves to the US House of Representatives for further deliberation, where it is expected to face intense debate. Despite potential challenges, industry leaders and lawmakers are optimistic, with many anticipating President Trump's support, as he has publicly endorsed crypto-friendly policies.
This historic Senate vote is seen as a significant win for the crypto sector, providing much-needed regulatory clarity and paving the way for stablecoins to become more mainstream. Analysts predict that the GENIUS Act could catalyze further innovation and adoption in the digital asset space.
As the House vote looms, stakeholders across the financial and tech industries are closely monitoring developments, recognizing the potential impact of this legislation on the global cryptocurrency landscape. The outcome could shape the future of digital finance in the US and beyond.
Andrew Lee
