Wall Streets calling it the most 'genius' piece of regulation since Dodd-Frank

Published: Wednesday, June 18, 2025 at 6:59 pm

**Senate Passes Landmark Stablecoin Bill, Signaling Crypto's Regulatory Ascent**

In a significant development for the cryptocurrency sector, the U.S. Senate has approved the GENIUS Act, marking the first major digital asset regulation to clear the upper chamber. The bill, which passed with a vote of 68-30, establishes a federal framework for stablecoin issuance, a type of cryptocurrency designed to maintain a stable value.

The GENIUS Act, short for Guaranteed and Enforceable Neutral Intermediaries for U.S. Stablecoins, sets guidelines for companies issuing stablecoins. Key provisions include a requirement for issuers to maintain one-to-one reserves in cash or short-term Treasury securities to ensure stability, with monthly verification of these reserves. The legislation also aims to protect consumers and prevent tech companies and government officials from launching their own tokens while in office.

While the bill garnered broad support, it faced opposition from some, including Senator Elizabeth Warren, who expressed concerns that the bill would weaken consumer protections. However, after addressing ethics, transparency, and national security concerns, the bill gained bipartisan support. Supporters, such as Senator Bill Hagerty, believe the bill will strengthen the U.S. dollar's dominance, protect consumers, and boost demand for U.S. Treasuries.

The legislation now moves to the House of Representatives, where a companion bill, the STABLE Act, is also gaining traction. If both chambers can agree on a final version, it would represent a historic step in establishing comprehensive digital asset regulation in the United States.

Industry leaders are hailing the GENIUS Act as a pivotal moment, with many anticipating increased institutional participation and a surge in confidence within the market. The bill is seen as a catalyst for innovation, potentially paving the way for new stablecoin applications in areas like payments and settlement.

BNN's Perspective: The passage of the GENIUS Act is a positive step towards providing regulatory clarity for the burgeoning cryptocurrency market. While concerns about consumer protection are valid, the bill's focus on stablecoin stability and reserve requirements is a sensible approach. The bipartisan support suggests a growing recognition of the need to balance innovation with responsible oversight in the digital asset space.

Keywords: GENIUS Act, stablecoins, cryptocurrency, regulation, Senate, digital assets, U.S. dollar, consumer protection, Treasury securities, blockchain, STABLE Act, Elizabeth Warren, Bill Hagerty, crypto regulation, digital asset regulation

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