U.S. Senate Moves Forward on Stablecoin Regulation Bill
The U.S. Senate Banking Committee has made a significant advancement in the legislation concerning stablecoins, passing the bill with a vote of 18-6.
What to Know:
- The U.S. Senate Banking Committee cleared a bill to regulate stablecoin issuers, advancing it significantly closer to becoming law.
- The bill now requires approval from the overall Senate and the House of Representatives before it can be enacted.
The Banking Committee’s approval is a notable first step toward providing much-needed regulatory oversight in the U.S. crypto industry.
Senator Elizabeth Warren expressed concerns regarding some provisions of the bill, warning it could jeopardize national security. She stated:
“It would be crazy to advance this bill when it’s got so many holes in it that have been pointed out, and to advance it at the exact moment that news is breaking about Donald Trump trying to create his own stablecoin with an outfit that is notorious for breaking the law.”
Another Democrat, Catherine Cortez Masto, criticized the lack of Republican participation during the discussions.
Senator Tim Scott, the committee’s chairman, defended the progress made, stating:
“Markups are messy, but we’ve been working diligently to push this forward.”
The legislation, known as the Guiding and Establishing National Innovation for U.S. Stablecoins Act (GENIUS Act), aims to provide clear regulations for stablecoin issuers while ensuring competition and consumer protection.
It represents a bipartisan effort to address the regulatory landscape of the crypto industry as the push for clarity and stability takes center stage among lawmakers.
