The Genius Act has passed the House by a vote of 308-122

The Genius Act has passed the House by a vote of 308-122

The GENIUS Act, a pivotal piece of legislation aimed at regulating stablecoins, has passed the U.S. House of Representatives by a vote of 308-122. This development marks a significant step forward in the U.S. government's approach to cryptocurrency regulation. The bill, which already passed the Senate with bipartisan support, establishes a federal framework for regulating dollar-pegged stablecoins, granting oversight authority to the U.S. Treasury [1].

The passage of the GENIUS Act comes after a tumultuous week in the House, where lawmakers debated the bill and its accompanying measures, the CLARITY Act and the Anti-CBDC Surveillance State Act. The initial procedural vote on the GENIUS Act failed due to internal Republican conflict, with hard-line members of the Freedom Caucus objecting to the combined debate of the bills. However, following a high-stakes meeting with President Donald Trump, key Republican leaders agreed to move forward, securing the necessary votes to pass the procedural rule [1].

The GENIUS Act mandates that stablecoins be backed 1:1 with verifiable reserves, undergo financial audits, and comply with both federal and state-level oversight. This regulatory framework aims to boost the U.S. financial edge and create a clear pathway for private companies to issue digital dollars [1]. While the bill has bipartisan support in the Senate, it faces opposition within the Republican Party due to the lack of an anti-CBDC clause, which some hardliners view as a threat to financial freedom [1].

The passage of the GENIUS Act is a crucial step in the broader legislative push to provide regulatory clarity for digital assets, a key goal of the "Crypto Week" initiative led by House Republicans. The legislative agenda aims to support private sector innovation, ensure consumer protections, and safeguard the dollar's international role [1].

The next step in the legislative process is for the bill to be sent to President Trump, who has already pledged to sign it into law. However, the central question remains whether the House will succeed in keeping the GENIUS Act "clean" or if internal demands will force amendments that risk delay [1].

The passage of the GENIUS Act has significant implications for the cryptocurrency market. While the bill itself focuses on stablecoins, its passage is seen as a positive step towards broader crypto regulation. Analysts believe that the CLARITY Act, which aims to provide comprehensive legal guardrails for digital assets, is the bigger prize for the market, as it could halt the momentum behind the current bull market if it doesn't pass soon [2].

The energy around the GENIUS Act and the broader crypto legislative agenda is already driving interest in the market. New projects like Bitcoin Hyper, a memecoin with real utility built on Solana, are seeing increased interest and investment as confidence builds around the upcoming legislation [2].

In conclusion, the passage of the GENIUS Act by the House marks a significant milestone in the U.S. government's approach to cryptocurrency regulation. The bill's passage, along with the broader legislative push for regulatory clarity, is likely to have a substantial impact on the cryptocurrency market and the broader financial landscape.

References:
[1] https://www.bitget.com/news/detail/12560604868829
[2] https://www.ibtimes.com/house-crypto-vote-breaks-records-genius-act-inches-closer-trumps-desk-3778763