US Congress Passes Landmark Stablecoin Legislation with ’GENIUS Act’
The US Congress has delivered a watershed moment for cryptocurrency regulation with the bipartisan passage of the GENIUS Act, the first federal stablecoin framework. The bill cleared the House 308-122 after Senate approval, with President Trump personally rallying Republican support. Effective next week, the law mandates 1:1 reserves, monthly transparency reports, and investor protections for dollar-pegged tokens.
Stablecoins now occupy a strategic position in US financial policy. Their Treasury-backed reserves—exemplified by Tether's $120 billion holdings—create structural demand for government debt. The GENIUS Act ('Guiding and Establishing National Innovation for U.S. Stablecoins') formalizes this symbiosis through federal and state oversight mechanisms.
