{"id":9589,"date":"2025-03-11T07:37:28","date_gmt":"2025-03-11T06:37:28","guid":{"rendered":"https:\/\/wsj-crypto.com\/?p=9589"},"modified":"2025-03-11T07:37:28","modified_gmt":"2025-03-11T06:37:28","slug":"key-updates-to-us-stablecoin-legislation-before-senate-banking-committee-vote","status":"publish","type":"post","link":"https:\/\/wsj-crypto.com\/index.php\/2025\/03\/11\/key-updates-to-us-stablecoin-legislation-before-senate-banking-committee-vote\/","title":{"rendered":"Key Updates to US Stablecoin Legislation Before Senate Banking Committee Vote"},"content":{"rendered":"

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The US Senate Banking Committee is poised to cast a vote on a Republican-led stablecoin framework legislation on March 13, subsequent to updates made following discussions with committee Democrats.<\/p>\n

GOP Senator Bill Hagerty, an advocate of the bill, stated<\/a> on March 10 that he presented a revised version of the Guiding and Establishing National Innovation for US Stablecoins (GENIUS) Act, which is scheduled for a Banking Committee vote on March 13.<\/p>\n

He mentioned that the revised legislation incorporated bipartisan dialogues. The bill is jointly sponsored by Republican Senators Cynthia Lummis and Tim Scott, who also leads the Banking Committee, in collaboration with Democrats Kirsten Gillibrand and Angela Alsobrooks.<\/p>\n

\u201cThe revised edition of the GENIUS Act introduces substantial enhancements to various critical aspects, including consumer safeguards, recognized stablecoin issuers, risk management, state avenues, insolvency, transparency, and additional provisions,\u201d Gillibrand mentioned in a statement.<\/p>\n

Hagerty first put forth the bill<\/a> in early February. Its objective is to regulate issuers of US dollar stablecoins that exceed market caps of $10 billion \u2014 presently only Tether (USDT<\/a>) and Circle\u2019s USDC (USDC<\/a>) \u2014 under Federal Reserve oversight<\/a>. Those below $10 billion may choose to adhere to state-level regulations.<\/p>\n

Web3 educational application EasyA co-founder Dom Kwok mentioned<\/a> on X that the recent version of the GENIUS Act, disclosed<\/a> by FOX Business reporter Eleanor Terrett, provides \u201cUS-issued stablecoins a competitive edge.\u201d<\/p>\n

He further noted that the legislation now holds international stablecoin<\/a> issuers to \u201cexceptionally rigorous standards\u201d regarding reserve and liquidity obligations, as well as anti-money laundering and sanctions compliance.<\/p>\n

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Source: <\/em>Dom Kwok<\/em><\/a><\/p>\n<\/figcaption><\/figure>\n

\u201cMost international issuers will struggle to adhere to these standards,\u201d giving Circle\u2019s USDC and Ripple Labs\u2019 Ripple USD<\/a> (RLUSD) \u201ca distinct advantage,\u201d he stated.<\/p>\n

Related: <\/strong><\/em>Crypto requires a policy shift more than Bitcoin reserve \u2014 Executives<\/strong><\/em><\/a><\/p>\n

Cryptocurrency attorney and Hogan & Hogan partner Jeremy Hogan reached a similar conclusion<\/a> in a different X post, asserting that the bill\u2019s stipulations, especially concerning reserves and anti-money laundering checks, \u201cfit perfectly for RLSUD and USDC.\u201d<\/p>\n

The GENIUS Act still has progress to make before it can be enacted into law. The Senate Banking Committee must vote to approve the bill before it is presented to the entire Senate for possible deliberation.<\/p>\n

If it secures Senate approval, it will proceed to the House. Should the House make no alterations to the bill, it will then be sent to President Donald Trump for either signing into law or vetoing.<\/p>\n

Magazine: <\/strong><\/em>How cryptocurrency regulations are evolving globally in 2025<\/strong><\/em><\/a>\u00a0<\/p>\n