The US House of Representatives passed the stablecoin legislation bill, the GENIUS Act, making a ripple effect in the digital asset industry. The crypto legislation has now moved to President Donald Trump, after receiving a 308-122 vote on Thursday. The GENIUS Act, or Guiding and Establishing National Innovation for U.S. Stablecoins, is a comprehensive regulatory framework for payment stablecoins that mandates issuers to adhere to strong and transparent rules. The bill also establishes a dual supervisory system, comprising both federal and state systems, to mitigate risks associated with finance and protect consumers.
A crypto drama comes true in the ‘Crypto Week’
The bill came to life after a prolonged, dramatic discussion between Republicans and Democrats in the House. The ‘Crypto Week’, July 14-18, was declared to establish three key bills, including the GENIUS Act, the CLARITY Act, and the Anti‑CBDC Surveillance State Act.
The CLARITY Act passed with a vote of 294–134, whereas the Anti‑CBDC Surveillance State Act received a narrow 219–210 vote on Thursday. Both these bills will now proceed to the Senate for approval.
Although some Democrats pointed out that the bill posed a threat to the US financial system, several of them supported Republicans, voting in favor of the bill.
A bill that pushes transparency into stablecoins
Bringing more clarity to stablecoin issuers is one of the key ideas behind the GENIUS Act. The new bill, once approved by Trump, will regulate stablecoin issuers with a dual regulatory system, as mentioned. Moreover, the bill acts as a safeguard for stablecoin consumers, providing more clarity and accountability on stablecoins.
Reuters news agency reported President of DeFi Technologies, Andrew Forson’s statement as: “By establishing clear, actionable rules for stablecoins and digital assets, the GENIUS Act unlocks broader adoption by traditional institutions and brings much-needed trust and transparency to the sector.”
In another statement, Circle’s (major stablecoin issuer) Dante Disparte wrote that the stablecoin bill is a great moment for the “future of money and the internet financial system”.
