U.S. Senate Passes Landmark Stablecoin Regulation Bill

In a landmark movement for the cryptocurrency sector, the U.S. Senate has passed a bill aimed at establishing a concrete regulatory framework for stablecoins. The legislative measure, known as the GENIUS Act, has garnered bipartisan approval, paving the way for potential enactment.

The bill's passage marks the first federal regulatory regime specifically targeting stablecoins, a form of digital currency maintained at a consistent 1:1 value with the U.S. dollar. Proponents of the legislation argue that this framework is crucial for the further expansion and mainstream acceptance of stablecoins.

Additionally, if approved, the bill will mandate stablecoin issuers to back their tokens with liquid assets and provide monthly disclosures of reserve compositions. Meanwhile, political tensions and concerns over the involvement of tech giants and anti-money laundering measures accompany the ongoing debate surrounding the bill.

(With inputs from agencies.)