Senate Passes GENIUS Act Regulating Stablecoins After 'Fierce' Political Clash

Senate Passes GENIUS Act Regulating Stablecoins After 'Fierce' Political Clash

U.S. Senate approves first major stablecoin bill, advancing crypto regulation while sparking partisan disputes over oversight and potential conflicts of interest.
LS
Linsey Smith
Jun 17, 2025
1 min read

The U.S. Senate on Tuesday passed the GENIUS Act, a landmark bill to regulate stablecoins, signaling a major policy shift toward legitimizing the cryptocurrency industry. Passed by a 68-30 vote, the bill marks the Senate’s first approval of comprehensive crypto legislation and follows years of lobbying by crypto firms seeking credibility and regulatory clarity without restrictive oversight.

Stablecoins, digital currencies tied to the U.S. dollar, are seen as a bridge between traditional finance and crypto. Senator Bill Hagerty, a Republican from Tennessee and lead sponsor of the bill, argued it would modernize payment systems and bolster demand for U.S. Treasury securities. The White House endorsed the bill, saying it reduces regulatory uncertainty and supports the dollar’s dominance in global crypto markets.

Despite bipartisan backing, the bill faced opposition from some Democrats. Senators Elizabeth Warren and Chuck Schumer criticized the lack of anti-corruption protections, especially concerning President Trump’s ties to crypto. An amendment barring public officials from profiting from stablecoins was blocked by Republicans.

The bill’s success follows over $130 million in crypto PAC spending during the 2024 election, influencing dozens of races. With Circle—the second-largest stablecoin company—recently going public, industry leaders praised the bill as a foundation for integrating crypto into the financial mainstream.

Before it reaches the president’s desk, the House must still approve the legislation. If passed, most probably, it will be signed by President Trump, whose administration has signaled support.

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