U.S. Senate Approves Landmark GENIUS Act to Regulate Stablecoins

The U.S. Senate has taken a decisive step toward stablecoin regulation with the approval of the GENIUS Act, passing by a vote of 51 to 23. This marks the first comprehensive federal legislation targeting the cryptocurrency sector, specifically focusing on payment-oriented stablecoins. The bill now heads to the House of Representatives, which has already advanced its own version of stablecoin regulation.

The GENIUS Act mandates that issuers fully back their stablecoins with U.S. dollars or equivalent liquid assets. Large issuers—those with market values exceeding $50 billion—must undergo annual audits. The legislation also addresses foreign issuers and grants crypto holders super-priority creditor status in bankruptcy scenarios.

Republican Senator Bill Hagerty championed the bill, formally titled "Guiding and Establishing National Innovation for U.S. Stablecoins." Earlier attempts at progress stalled due to Democratic opposition, but the latest vote signals growing bipartisan recognition of the need for clear regulatory frameworks in digital assets.