The U.S. House just made history by passing the GENIUS Act with strong 306- vote bipartisan support. Now heading to President Trump’s desk for immediate signing, this marks America’s first federal cryptocurrency legislation.
What the GENIUS Act Does
The groundbreaking law establishes clear rules for stablecoins:
- 100% reserve requirement for all issuers
- Regular audits to ensure transparency
- Federal/state dual licensing system
- Ban on algorithmic stablecoins without proper backing
Why This Matters for Crypto
After years of regulatory uncertainty:
✅ Creates legal foundation for stablecoin growth
✅ Provides consumer protections
✅ Could boost institutional adoption
⚠️ Critics warn it may favor large players like Circle
What Happens Next
- Trump to sign within hours
- Federal agencies (Fed/OCC) to draft rules by 2026
- Issuers must prepare for compliance immediately
As the crypto industry’s first federal framework, the GENIUS Act represents a major milestone – though debates continue about its long-term impact on innovation and competition.
