The Genius Act, a groundbreaking act that regulates stablecoins, a type of cryptocurrency tied to property like the US dollars or gold, has been introduced by the US Senate. With a 66-32 ratio, the bill was defeated by Senate Democrats ‘ earlier criticism to pass in a crucial legal vote. The Genius Act establishes the first comprehensive rules for stablecoins, including those relating to supply needs, anti-money fraud regulations, buyer protections, overseas supplier monitoring, and restrictions on technology companies issuing their own stablecoins. The stablecoin business, which is growing at a value of about$ 250 billion, needs to be assured of stability and security with these rules. President Donald Trump has ties to the crypto market through partnerships like World Liberty Financial and its bitcoin, USD1, making the act a top priority in the legislature. Senate Democrats, who initially backed the bill in the senate bank committee, were met with major opposition to the bill. Concerns were raised about potential conflict of interest involving President Trump’s and his mother’s role in the crypto industry. The bill was criticized by Senate Banking Committee chair Elizabeth Warren, who claimed that it could benefit Trump and his businesses by strengthening the cryptocurrency industry and boosting the value of his own cryptocurrency businesses, including his bitcoin” USD1″ and a recently launched meme coin. She claimed that the act promoted corruption and could have facilitated Trump’s economic self-dealing by allowing him to be the head of his own electronic currency. While a solid bitcoin bill is the best outcome, this weak expenses is worse than no bill at all, according to Warren. It is worthwhile to pass a bill that significantly improves bitcoin industry oversight. No bill at all is worse than a bill that” starves the cryptocurrency business” while promoting the government’s problem, compromising national security, financial security, and consumer protection. The US can’t afford to continue watching as the cryptocurrency business grows to close to$ 250 billion, according to Warner in a statement. We need obvious road rules to help responsible technology, protect consumers, and defend national security. The Genius Act will now face a final Senate vote later this year, according to Senate Majority Leader John Thune, who earlier criticized Democrats for preventing the estimate from being introduced earlier this month. The House of Representatives may consider it if it is approved. The proposed legislation makes a major step toward full federal control over the crypto industry. The Genius Act conversation highlights how the bitcoin industry is increasingly influential, and how difficult it is for lawmakers to strike a balance between innovation and social issues. It will probably continue to be a focal point in conversations about the future of digital asset rules as the invoice develops.
