The United States Senate Banking Committee has moved forward with the GENIUS Act, a proposed regulatory framework for stablecoins. This bill aims to establish a dual regulatory system, allowing stablecoin issuers to register with either state or federal authorities. Supporters of the legislation argue that it will enhance financial innovation while ensuring the dominance of the U.S. dollar in the global economy.
However, the bill has faced criticism, particularly from Senator Elizabeth Warren and other legislators concerned about Big Tech’s potential control over digital assets. Critics argue that the lack of strict federal oversight could lead to financial instability and consumer protection issues. The legislation now heads to the full Senate for further debate, and its potential impact on the crypto industry remains uncertain.