The U.S. Senate voted Monday to advance the Guiding and Establishing National Innovation for U.S. Stablecoins Act (GENIUS Act), a bill aimed at regulating stablecoins, following a 66-32 procedural vote.
The legislation, introduced by Sen. Bill Hagerty (R-Tenn.), seeks to establish a federal framework for stablecoin issuers, requiring full asset backing, monthly reserve disclosures, and annual audits for issuers exceeding $50 billion in market capitalization.
The bill also restricts algorithmic stablecoins and prohibits large technology firms from issuing stablecoins unless they meet financial risk and consumer privacy criteria.
The vote comes two weeks after Senate Democrats blocked the measure, citing concerns over consumer protections and potential conflicts of interest related to President Donald Trump’s cryptocurrency ventures.
“The bill as it currently stands still has numerous issues that must be addressed, including adding stronger provisions on anti-money laundering, foreign issuers, national security, preserving the safety and soundness of our financial system, and accountability for those who don’t meet the act’s requirements.”
Several Democratic senators later changed their stance, allowing the bill to proceed to debate on the Senate floor.
The GENIUS Act is expected to face further amendments before a final vote, which could take place as early as the end of the week. If enacted, the bill would mark the first federal regulatory framework for stablecoins, a sector currently valued at nearly $250 billion.
Follow us on X, Facebook and Telegram
Don’t Miss a Beat – Subscribe to get email alerts delivered directly to your inbox
Check Price Action
Surf The Daily Hodl Mix
 
Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any losses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.
Generated Image: Midjourney
#Senate #Advances #GENIUS #Stablecoin #Legislation #Democrat #Opposition
