Senator Hagerty Introduces Revised GENIUS Act for US Stablecoin Regulation
Senators Bill Hagerty, Tim Scott, Cynthia Lummis, and Kirsten Gillibrand have introduced an updated version of the GENIUS Act to enhance the regulatory framework for stablecoins in the US. Key updates include:
- The introduction of regulations for overseas stablecoins, requiring agreements with countries that have similar standards.
- The expansion of the definition of “Comptroller-regulated entities” to include federally approved nonbank stablecoin issuers.
- Enforcement measures mandating issuers to comply with legal orders regarding asset management.
- Restrictions on foreign stablecoin issuers operating in the US without meeting specific requirements.
Senator Hagerty noted the potential of stablecoins to improve financial efficiency and boost demand for US Treasuries. The Senate Committee on Banking, Housing, and Urban Affairs will review the bill on March 13, 2025. The GENIUS Act aims to integrate stablecoins into the US financial system while addressing consumer protections, risk management, and transparency. Ongoing discussions will determine its impact on existing projects and foreign issuers' willingness to adapt to US regulations.