After a choppy week of political posturing, the GENIUS Act (S 1582), the legislation that provides federal rules for payment stablecoins, has been approved in the House of Representatives. This means the legislation will soon be presented to the President’s desk to be signed into law.
Ultimately, the vote on the GENIUS Act garnered significant bipartisan support. The final tally was 308 for and 112 against, as 102 Democrat members voted to approve the bill. Twelve Republicans voted against the legislation.
The Chairman of the Securities and Exchange Commission, Paul Atkins, issued a statement congratulating the House on the passage of the landmark legislation. Atkins said the approval “marks a historic milestone for crypto entrepreneurs, financial market participants, and everyday Americans.”
“Blockchain and crypto asset technologies have the potential to revolutionize America’s financial infrastructure and deliver new efficiencies, cost reductions, transparency, and risk mitigation for the benefit of all Americans. Innovators experimenting with these exciting technologies deserve clear rules of the road, which the GENIUS Act provides for payment stablecoins,” said Atkins. “Over the coming months and years, I look forward to watching the market leverage the regulatory framework provided by the GENIUS Act to go to market with payment stablecoins solutions that make transactions quicker, cheaper, and safer—all while maintaining robust risk safeguards.”
House Financial Services Committee Chairman French Hill said the legislation is a historic turning point:
“I look forward to President Trump signing GENIUS into law in short order and working with our regulators on implementing this important bill to establish U.S. leadership in this space.”
Ji Hun Kim, CEO of the Crypto Council for Innovation, stated that the GENIUS Act marks a watershed moment for the US and a defining step in responsible crypto policy.
“This comprehensive framework gives issuers, builders, and regulators the clear rules they have been asking for. It puts innovation and consumer protection first. The passage of GENIUS marks just the beginning of a new golden age for digital assets with America at the helm.”
The US Senate has already approved the GENIUS Act, and its brevity of rules is expected to quickly lead to a new era of payments and transfers. By leveraging blockchain technology, transfers can be made immediately, securely, and less costly than those facilitated by today’s payment rails.
Additionally, the GENIUS should help buttress the dollar as the world’s reserve currency, as it will be far easier for people to hold and use dollars anywhere around the world. Additionally, demand for US Treasuries, which will be used for reserves held by issuers, is expected to increase. Many banks are expected to move into the stablecoin sector as they will have clear-cut rules.