Senate Passes Stablecoin Bill Amid Global Competition

The U.S. Senate passed the GENIUS Act with a 68-30 bipartisan vote, establishing the first federal framework for regulating dollar-pegged stablecoins with requirements for full reserves, monthly audits, and anti-money laundering compliance. The act aims to accelerate stablecoin adoption among banks and financial institutions, potentially transforming cross-border payments and driving up demand for U.S. Treasuries. However, the bill has ignited controversy due to concerns over systemic financial risks, the scalability of Treasury-backed stablecoins, and President Trump's personal financial ties to the sector via World Liberty Financial. The crypto industry's large campaign spending and the influence of major banks and tech companies are also under scrutiny. Internationally, China is promoting the global use of its digital yuan, and e-commerce giants like JD.com are seeking stablecoin licenses to reduce transaction costs. These changes reflect a broader shift in the global financial landscape as digital assets become more regulated and mainstream.