Solana (sol) 
New Stablecoin Bill to Establish Clear Regulatory Framework in the US
The US stablecoin market is set to receive a significant boost with the introduction of a new bill, dubbed the “Guiding and Establishing National Innovation for US Stablecoins” or GENIUS Act. This bill, introduced by Senator Bill Hagerty, aims to establish a clear regulatory framework for the quickly expanding stablecoin market in the United States.
Key Provisions of the GENIUS Act
The bill, co-sponsored by Sen. Kirsten Gillibrand, Sen. Tim Scott, and Sen. Cynthia Lummis, outlines several key provisions to regulate the stablecoin market. These include:
- Requiring all stablecoins to be backed by U.S. Treasury bills, U.S. dollars, and Federal Reserve notes.
- Mandating issuers to back all issued stablecoins with Treasury bills, U.S. dollars, and Federal Reserve notes.
- Requiring issuers to undertake and publish monthly audit reports.
Senator Hagerty confirmed the bill’s introduction, stating:
“Today, I’m introducing the GENIUS Act with Senator Tim Scott, Sen. Gillibrand, & Sen. Lummis, a bill that establishes a clear regulatory framework for stablecoins.”
Alignment with Other Proposals
The GENIUS Act aligns with similar proposals pushed in the House of Representatives, including drafts from former House Financial Services Committee chair Patrick McHenry and ranking committee member Rep. Maxine Waters. This effort seeks to position the US as the “crypto capital of the world” and provide regulatory clarity for the industry.
Stablecoin Market Overview
Currently, Tether’s USDT and Circle’s USDC are the two top stablecoins by market share. The stablecoin market has been growing rapidly, and this new bill aims to provide a clear regulatory framework to support its expansion.
Next Steps
Senator Hagerty has stated that he will work with U.S. House Financial Services Committee chair Rep. French Hill to advance the bill to President Trump’s desk. This move is expected to provide further regulatory clarity for the stablecoin market and support its growth in the US.
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