Senate Fast-Tracks GENIUS Act That Could Spark a U.S. Stablecoin Boom
By: blockchainreporter|2025/05/02 23:00:05
0
Share
The U.S. Senate recently moved forward with the GENIUS Act to control stablecoins and facilitate digital dollar developments.The proposed bill has strong support from lawmakers and crypto companies, which boosts its likelihood of becoming an official law.If passed, it could build trust, promote institutional adoption, and push the use of stablecoins in daily transfers.Senate Majority Leader John Thune kicked off a fast-track process for the GENIUS Act, which would signal the first federal regulatory framework for U.S. dollar-backed stablecoins. The legislation, sponsored by Senator Bill Hagerty and co-sponsored by Senators Tim Scott and Cynthia Lummis, has passed through committee review and sits waiting for a full Senate vote that may occur before the end of April.Source: Congress.govThe GENIUS Act comes in response to calls for regulatory clarity after years of legal ambiguity surrounding stablecoins. It is also in line with the political agenda pushed by President Donald Trump to subject digital assets to a structured regime of oversight. The measure was described by National Republican Senatorial Committee chair Scott as a ‘critical first step’ in restoring confidence in the US financial system through digital innovation. The bill’s core is intended to set minimum standards for stablecoin issuers and require assets to be fully backed with the pledge of transparency. The TerraUSD failure in 2022 exposed severe concerns with algorithmic stablecoins, leading to new security standards needing establishment. According to lawmakers, the GENIUS Act would have stopped the unfortunate botched operation from happening.Wall Street, Crypto Giants Back Bill Amid Trust DeficitMajor financial and crypto companies are joining forces to help the GENIUS Act advance. Stablecoin companies Circle and others are pushing for U.S. regulatory oversight because they want consumers to trust their business. Stablecoin adoption by traditional institutions remains limited because they want more clarity on compliance standards.A passed bill will permit assets like USDC to move beyond niches and encroach on traditional finance. Following JP Morgan’s Kinexys Digital Payments platforms road, banks could start issuing stablecoins for cross-border transfers and settlements. Analysts believe the GENIUS Act could mark a turning point in including stablecoins into mainstream banking infrastructure.The bill also could help boost public perception by addressing security and consumer protection. Regulatory approval would help users confirm that their digital currency funds are protected through reliable projects that are managed properly.Mass Adoption May Follow as Rules Open New AvenuesGENIUS Act has greater benefits that extend beyond banking systems. U.S. corporations can now start issuing stablecoins thanks to well-defined laws. PayPal has launched PYUSD, and rumors suggest that Amazon is developing a blockchain-based payment system with dollar-backed tokens.The adoption of stablecoin is exceeding expectations. In the first quarter, the stablecoin transaction volume surpassed that of Visa, claims Bitwise’s Q1 2025 Crypto Market Review. These represent a shift towards programmable and settlement for digital assets for everyday payments.Source: BitwiseVisa and Bridge also recently launched a Visa card that allows users to spend stablecoins for everyday purchases. Over 150 million Visa-accepting merchants worldwide accept the card for stablecoin payments. In the announcements, this partnership seeks to make digital asset transactions transactional as traditional money.
You may also like

Will MicroStrategy fall into a death spiral? What will the macro trend be in the second half of the year?
The cryptocurrency industry may gradually shift from the hype of native altcoins to real asset tokenization, on-chain machine economy, and a more mature industrialization phase.

Morning Report | Illinois signs the strictest digital asset tax law in the U.S.; RWA tokenization market size surpasses $43 billion, institutions accelerate the migration of on-chain assets
Overview of Important Market Events on June 17

Full version of the debut Q&A! Federal Reserve Chairman Waller: Sticking to the 2% inflation target, establishing five special working groups, individual did not submit the dot plot
Federal Reserve Chairman Waller's debut featured a significant slimming statement, the cancellation of forward guidance, refusal to submit the dot plot, and the establishment of five working groups, vowing to uphold the 2% inflation target, which triggered a sharp decline in U.S. stocks and a surge ...

From Disruptor to Shadow Market: The Crypto Market is Becoming a Colony of Traditional Finance
"Coin-stock linkage" has evolved from the early stage of macro correlation and one-way penetration of emotional funds to the current 3.0 stage, where on-chain perpetual contracts provide extended trading hours and emotional signal value for traditional assets 24/7, and participate in Pre-IPO pricing...

Dalio's important long article: How to position in the current market environment?
Do not confuse the excitement for new technologies with whether those tech stocks are attractive.

OKX Star analyzes Binance's competitive advantages: when regulation levels the playing field, competition has just begun
OKX founder Star published a lengthy article, systematically analyzing Binance's competitive advantages over the years: regulatory arbitrage, speculative narrative cycles, social media control, and superficial compliance, stating that the essence of these advantages is not product capability, but ra...

New gameplay for participating in initial offerings on cryptocurrency exchanges
In this competition for cutting-edge assets, what has always been truly scarce is not the technology, but the underlying equity itself.

Why Is Bitcoin Down Today? What the Hawkish FOMC Means for SpaceX, Gold and Nasdaq
Why is Bitcoin down today? A hawkish FOMC pressured crypto and gold, while SpaceX surged to a $2.5 trillion valuation and Nasdaq gained attention. Here's what happened and why traders are looking beyond Bitcoin.

DeepSeek Financing Story
DeepSeek's financing insider information exposed: "Four-hour meeting" fully demonstrates Liang Wenfeng's determination for AGI, over a hundred institutions involved, Sequoia and Hillhouse rarely absent, not poaching talent is the hardest red line.

Morning Report | DeepSeek completes over $7 billion in financing, with a valuation exceeding $50 billion; Musk's personal wealth has surpassed the total market value of Bitcoin
Overview of Important Market Events on June 16

Cursor, why did you get on Musk's spaceship?
SpaceX set a record with its IPO, spending a staggering $60 billion to acquire the popular AI programming unicorn Cursor just four days later. Musk is using the ultimate puzzle of "super computing power + top coding engine" to propel the market value skyrocketing, surpassing Amazon in one fell swoop...

In the name of charity, for the benefit of the family: How the Trump family turned charity into profit?
This set of "beautiful rhetoric and value return to one's own people" has not stopped at charitable foundations; it has now almost been transferred intact to American Bitcoin.

Will Gold Break $4,500 After Tonight's Fed Decision? What XAUT and PAXG Traders Need to Know
The Federal Reserve announces its June rate decision tonight. Could gold break $4,500 next? Explore the latest gold price prediction, key Fed scenarios, and what they mean for XAUT and PAXG traders.

SharpLink CEO: How to understand that Ethereum developers have just surpassed 1 million?
The most important question in the cryptocurrency industry is not which chain is the fastest, but rather where top builders choose to build in the long term. Ethereum has just surpassed one million cumulative developers; what does this number mean?

Morning Report | MiCA grace period expires on July 1; Kalshi's trading volume in the first week of the World Cup breaks $5.1 billion, setting a record
Overview of Important Market Events on June 15

The foundation of SpaceX's trillion-dollar valuation: Who is dividing Musk's annual capital expenditure of tens of billions?
SpaceX Supply Chain Revealed: The Invisible Gold Mine Behind the Trillion-Dollar "Space Dream," from Nvidia's Computing Power Monopoly to China's Sole Supplier of Special Materials, these overlooked water-selling talents are the true wealth creation engine.

How to exit after asset tokenization?
Currently, three models have emerged, aimed at providing instant exit routes for tokenized real-world assets. Their differences lie in: who holds the funds required for exit, how efficiently the funds operate, and the extent to which this model can be scaled across different asset types.

The stablecoin positioning battle escalates: When compliance is just a ticket to entry, will USD1 become the biggest winner?
How does the GENIUS Act reshape the stablecoin landscape?
Will MicroStrategy fall into a death spiral? What will the macro trend be in the second half of the year?
The cryptocurrency industry may gradually shift from the hype of native altcoins to real asset tokenization, on-chain machine economy, and a more mature industrialization phase.
Morning Report | Illinois signs the strictest digital asset tax law in the U.S.; RWA tokenization market size surpasses $43 billion, institutions accelerate the migration of on-chain assets
Overview of Important Market Events on June 17
Full version of the debut Q&A! Federal Reserve Chairman Waller: Sticking to the 2% inflation target, establishing five special working groups, individual did not submit the dot plot
Federal Reserve Chairman Waller's debut featured a significant slimming statement, the cancellation of forward guidance, refusal to submit the dot plot, and the establishment of five working groups, vowing to uphold the 2% inflation target, which triggered a sharp decline in U.S. stocks and a surge ...
From Disruptor to Shadow Market: The Crypto Market is Becoming a Colony of Traditional Finance
"Coin-stock linkage" has evolved from the early stage of macro correlation and one-way penetration of emotional funds to the current 3.0 stage, where on-chain perpetual contracts provide extended trading hours and emotional signal value for traditional assets 24/7, and participate in Pre-IPO pricing...
Dalio's important long article: How to position in the current market environment?
Do not confuse the excitement for new technologies with whether those tech stocks are attractive.
OKX Star analyzes Binance's competitive advantages: when regulation levels the playing field, competition has just begun
OKX founder Star published a lengthy article, systematically analyzing Binance's competitive advantages over the years: regulatory arbitrage, speculative narrative cycles, social media control, and superficial compliance, stating that the essence of these advantages is not product capability, but ra...
Customer Support:@weikecs
Business Cooperation:@weikecs
Quant Trading & MM:bd@weex.com
VIP Program:support@weex.com

