GENIUS Act Gains Momentum in U.S. Senate. Here’s The Latest

In a pivotal development for the digital asset industry, the U.S. Senate has taken a significant step forward on the path to stablecoin regulation with the procedural advancement of the GENIUS Act—a comprehensive bill aimed at establishing a federal framework for the issuance and oversight of stablecoins. According to Eleanor Terrett , a Fox Business journalist closely following the legislation, the act has cleared a major hurdle, with sixteen Democratic senators crossing party lines to vote in favor of the measure, signaling a growing bipartisan consensus on the importance of regulating the rapidly evolving stablecoin market. This is a big first step towards passage of the GENIUS Act, and sixteen Democrats ended up changing their vote to support the bill. As I mentioned before, the legislation will now move to the debate and amendment process on the Senate floor, which will begin tomorrow night or… https://t.co/Z1OP2s9Tm8 — Eleanor Terrett (@EleanorTerrett) May 20, 2025 The legislative milestone marks the beginning of a critical phase for the GENIUS Act. As Terrett reported via her post on X, the bill will now advance to the debate and amendment process on the Senate floor. This phase is expected to commence as early as Tuesday night or Wednesday, depending on the outcome of a procedural vote on the motion to proceed. The amendment process will be a key opportunity for lawmakers to refine the provisions of the bill, address stakeholder concerns, and potentially align it more closely with evolving views on digital finance regulation. Political Timing and Strategic Considerations While Senate GOP leadership had been aiming for a final passage vote before Memorial Day, which falls on Monday, May 26, the timeline now appears uncertain. Procedural complexities and the potential for extended debate could push the final vote into early June. Nonetheless, the bipartisan vote signals strong momentum for the GENIUS Act and an increasing sense of urgency among lawmakers to establish clear rules around the issuance and management of stablecoins. The political calculus surrounding the GENIUS Act is nuanced. Stablecoins, which are digital tokens typically pegged to fiat currencies like the U.S. dollar, have grown into a multi-billion-dollar market, often operating in regulatory gray zones. Lawmakers on both sides of the aisle have expressed concern that without federal oversight, stablecoins could pose risks to consumer protection, financial stability, and national security. Republicans have generally supported the idea of nurturing innovation while ensuring market integrity, while a growing number of Democrats are acknowledging the potential of stablecoins to drive payment efficiency and financial inclusion. The vote by sixteen Democrats to support the GENIUS Act indicates that the legislative climate is warming toward thoughtful, measured regulation of digital assets. Industry Implications and Market Expectations If enacted, the GENIUS Act would create a federal licensing regime for stablecoin issuers, set reserve requirements to ensure backing by safe assets like U.S. Treasury bills, and establish clear guidelines for compliance and consumer protection. The bill is also expected to clarify the role of state regulators and the interaction between federal and state oversight, two contentious issues that have slowed past attempts at similar legislation. We are on twitter, follow us to connect with us :- @TimesTabloid1 — TimesTabloid (@TimesTabloid1) July 15, 2023 The implications for the crypto industry are profound. Leading stablecoin issuers such as Tether, Circle, and Ripple—all of which back their tokens with significant holdings in U.S. government debt—stand to benefit from legal clarity that would make institutional adoption more viable. According to data from Citibank, stablecoin issuers could become the largest private holders of U.S. Treasuries by 2030, further entwining the digital asset sector with traditional financial markets. The GENIUS Act’s progress also comes at a time when geopolitical and economic concerns have heightened interest in digitized U.S. dollars as reliable stores of value and mediums of exchange. Market participants are watching closely to see whether the legislation will provide the type of framework that allows for robust innovation while ensuring regulatory safeguards. A Crucial Juncture for U.S. Crypto Policy The Senate’s willingness to engage seriously with stablecoin legislation marks a turning point in U.S. crypto policy. For years, the lack of clear federal standards has created a patchwork of rules and enforcement actions that many in the industry believe have stifled innovation and driven investment overseas. The GENIUS Act could offer a much-needed reset, paving the way for domestic growth while reinforcing America’s leadership in financial technology. As the debate unfolds on the Senate floor in the coming days, all eyes will be on the amendment process and the final vote. Whether or not the bill clears the Senate before Memorial Day, the momentum behind it is undeniable. The bipartisan support it has already garnered underscores a rare alignment of interests around the need for digital financial infrastructure that is secure, transparent, and aligned with national economic goals. In this context, Eleanor Terrett’s ongoing coverage continues to provide vital insight into one of the most consequential legislative efforts for the future of digital finance. With each step closer to passage, the GENIUS Act brings the United States nearer to a regulatory framework that could shape not just domestic markets but the global financial system of the future. Disclaimer : This content is meant to inform and should not be considered financial advice. The views expressed in this article may include the author’s personal opinions and do not represent Times Tabloid’s opinion. Readers are urged to do in-depth research before making any investment decisions. Any action taken by the reader is strictly at their own risk. Times Tabloid is not responsible for any financial losses. Follow us on Twitter , Facebook , Telegram , and Google News The post GENIUS Act Gains Momentum in U.S. Senate. Here’s The Latest appeared first on Times Tabloid .

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