A new stablecoin bill called the Guiding and Establishing National Innovation for U.S. Stablecoins Act of 2025 (GENIUS Act) has been introduced in the US Senate. The bill, sponsored by Senators Bill Hagerty, Tim Scott, Kirsten Gillibrand, and Cynthia Lummis, aims to regulate the issuance and oversight of payment stablecoins in order to ensure financial stability and consumer protection. Under the proposed law, only permitted payment stablecoin issuers will be allowed to issue stablecoins in the US market, and they must maintain reserves that fully back the stablecoins at a 1:1 ratio. Transparency is required, as issuers must disclose their redemption policies and publish monthly reports detailing their reserve composition. The bill also grants federal regulators oversight authority and provides an option for state-level regulation. The GENIUS Act is set to take effect within 18 months of enactment or 120 days after federal regulators finalize its implementation rules.



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