Senate Advances Major Stablecoin Regulation Bill 66-32 Amid Bipartisan Debate

The U.S. Senate advanced the GENIUS Act, a landmark bipartisan bill to regulate stablecoins, with a 66-32 procedural vote, overcoming initial Democratic opposition linked to concerns about President Trump's cryptocurrency ties. The legislation seeks to establish the first federal regulatory framework for stablecoins, requiring them to be fully backed, issued only by licensed entities, and subject to consumer protection safeguards and limits on tech company involvement. Key senators from both parties negotiated an amendment addressing these concerns, which helped secure Democratic support despite persistent criticisms from progressive groups warning about conflicts of interest related to Trump's crypto investments. Senate Majority Leader John Thune and Senator Mark Warner emphasized the necessity of clear, transparent rules to foster innovation while protecting consumers and national security. However, opposition remains, notably from Senator Elizabeth Warren and progressive organizations, who argue the bill could entrench crypto influence and fail to adequately address ethical concerns. The bill reflects a significant step toward integrating stablecoins into the U.S. financial system with a regulatory approach balancing innovation and oversight.