United States of America: Guiding and establishing national innovation for U.S. stablecoins (GENIUS Act) was introduced to Senate

On 4 February 2025, the Guiding and establishing national innovation for U.S. stablecoins (GENIUS) Act was introduced to the Senate. The Act aims to create a federal regulatory framework for dollar-denominated payment stablecoins. The Act defines stablecoins as digital assets pegged to a fixed monetary value. It outlines procedures for licensing stablecoin issuers, implements reserve requirements, and sets regulatory standards. It applies the Federal Reserve's framework to issuers with more than USD 10 billion in stablecoins, while allowing state regulation for smaller issuers. The Act aims to increase transaction efficiency, expand financial inclusion and preserve the global dominance of the US dollar.