GENIUS Act Moves Closer to US Senate Approval

This vote invoked cloture, a key step that limits debate. It moves the bill toward a final vote, which could come as early as Monday.

The GENIUS Act aims to bring clarity and safeguards to the fast-growing stablecoin market. Stablecoins are widely used in crypto trading and payments, with billions in daily volume. But without strong rules, lawmakers have raised concerns about risk to consumers and the broader economy.

Key Rules for a Fast-Moving Market

This proposal lays out firm guardrails for stablecoin issuers. To comply, stablecoins would need to be fully backed by U.S. dollars or similarly liquid assets. That means for every token issued, a real dollar—or its equivalent—must sit in reserve. Issuers with more than $50 billion in market value would also face mandatory annual audits.

The bill includes additional provisions for stablecoins created overseas, aiming to keep foreign players in check if they operate in the U.S. market. These steps reflect a broader global push toward regulating digital assets, with countries like the U.K. and Singapore already drafting similar laws.

Senator Tim Scott, a lead sponsor of the bill and Chair of the Senate Banking Committee, called the bipartisan progress a win for both innovation and national security. “This did not happen by accident,” Scott said on the Senate floor. “To those who doubted bipartisanship—let’s prove them wrong.”

Though the bill received strong support, some Democrats, including Senators Chuck Schumer and Elizabeth Warren, voted no. Still, several Democratic senators, such as Ruben Gallego of Arizona, broke ranks to support the bill.

More About Crypto Regulation

The stablecoin market hit a new high in 2025, reaching a record $228 billion in total value. This growth of $33 billion, or 17%, is driven by more trading activity, wider use of stablecoins for payments, and clearer regulation coming into play under the Trump administration.

These factors have boosted confidence in stablecoins, making them a stronger part of the digital money world.

Disclaimer

The information discussed by Altcoin Buzz is not financial advice. This is for educational, entertainment, and informational purposes only. Any information or strategies are thoughts and opinions relevant to the accepted risk tolerance levels of the writer/reviewers, and their risk tolerance may differ from yours. We are not responsible for any losses you may incur due to any investments directly or indirectly related to the information provided. Bitcoin and other cryptocurrencies are high-risk investments, so please do your due diligence. Copyright Altcoin Buzz Pte Ltd.