U.S. Senator Bill Hagerty to introduce stablecoin bill
Senator Invoice Hagerty is ready to introduce a brand new stablecoin invoice because the largely crypto-friendly Republican Occasion seeks additional regulatory readability for the business.
The invoice dubbed “Guiding and Establishing Nationwide Innovation for US Stablecoins” or GENIUS Act, outlines a regulatory setting for the rapidly increasing stablecoin market in america. Tether’s (USDT) and Circle’s (USDC) are at present the 2 prime stablecoins by market share.
Hagerty confirmed the invoice’s introduction through a publish on X. Bloomberg reported on the event earlier within the day. The legislator noted:
“Right this moment, I’m introducing the GENIUS Act with Senator Tim Scott, Sen. Gillibrand, & Sen. Lummis, a invoice that establishes a transparent regulatory framework for stablecoins.”
The stablecoin invoice comes a number of months after Hagerty unveiled draft laws on the subject in October 2024. This effort aligns with related proposals pushed within the Home of Representatives, together with drafts from former Home Monetary Companies Committee chair Patrick McHenry and rating committee member Rep. Maxine Waters.
The GENIUS Act is co-sponsored by Sen. Kirsten Gillibrand, Sen. Tim Scott, and Sen. Cynthia Lummis.
Lummis is a key crypto advocate on Capitol Hill, and not too long ago turned the Senate Banking Subcommittee on Digital Assets’ first chair. The Wyoming Senator’s pro-crypto voice has included the push for a Bitcoin (BTC) strategic reserve.
President Trump signed an government order that helps the institution of a U.S. strategic digital belongings stockpile. The EO additionally outlined the creation of a crypto working group, with the duties anticipated together with on regulatory readability. Stablecoins type a serious a part of this framework.
Particularly, the GENIUS Act goals to ascertain a regulatory framework that positions the U.S. because the “crypto capital of the world.” Amongst its key provisions is a requirement that every one stablecoins be backed by U.S. Treasury payments, U.S. {dollars}, and Federal Reserve notes.
The invoice would require issuers to again all issued stablecoins with Treasury payments, U.S. {dollars}, and Federal Reserve notes. Issuers may even be required to undertake and publish month-to-month audit stories.
Hagerty has acknowledged that he’ll work with U.S. Home Monetary Companies Committee chair Rep. French Hill to advance the invoice to President Trump’s desk.
