Genius Stubcoin Legislation Begins Review Of The Banking Committee On March 10th

Table of Contents

Key takeout

The Genius Stablecoin Bill is about to create a regulatory framework for Stablecoins in the US.
The bill allows federal oversight for issuers with market capitalizations of more than $10 billion.

The Senate Banking Committee is planning to review Senator Hagerty’s Stubcoin bill. According to three Senate aides who are well-versed in the issue, the week of March 10th Genius Law.

scoop: @bankingop We are focusing on the markup for the week of March 10th. @senatorhagertyStablecoin Bill (Genius Law) is about three Senate aides who are well-versed in matter.
– Eleanorterrett (@Eleanorterrett) February 28, 2025

bill, It was introduced Senator Hagerty on February 4, 2025 will restrict steady issuance to permitted entities, including subsidiaries of insurance depository institutions, federally accredited non-bank payment stable issuers, and nationally qualified payment stable issuers.

Under the proposed framework, issuers with a market capitalization of more than $10 billion will face federal oversight, but if a state meets federal standards, issuers below that threshold can choose state regulations.

The bill requires Stablecoins to maintain US dollars or other approved high quality liquid assets at full 1:1 support.

The Genius Act also prohibits the stability of the algorithm and requires the publication of redemption policies and regular preliminary audits.

This regulatory push is consistent with global developments, including the recent European Union Market (MICA) and recent approvals for the Circle USDC and EURC Stubcoin by the Dubai Financial Services Authority.