Republican lawmakers are accelerating efforts to pass the GENIUS Act before the August recess, aiming to establish the first federal regulatory framework for stablecoins. The legislation has secured bipartisan support but faces heightened scrutiny due to former President Donald Trump’s family connections to a cryptocurrency firm involved in stablecoin operations.
The bill proposes comprehensive oversight of stablecoin issuers, mandating reserve requirements and consumer protection measures to ensure financial stability. Controversy surrounds the legislation as Trump’s son-in-law Jared Kushner and daughter Ivanka Trump hold financial stakes in a cryptocurrency company that could benefit from the proposed regulatory structure.
This push forms part of a broader Republican-led ‘crypto week’ strategy, which includes parallel efforts to advance bills addressing cryptocurrency market structure and central bank digital currency (CBDC) regulations. The coordinated approach seeks to position Congress as the primary regulator for digital assets.
If enacted, the GENIUS Act would provide regulatory clarity for stable attempting attempting to balance innovation with financial system integrity. momentum reflects growing recognition momentum reflects growing recognition of digital assets’ expanding role in the U.S. financial landscape.