Journalist

Tanzeel Akhtar

Journalist

Tanzeel Akhtar

About Author

Tanzeel Akhtar has been covering the cryptocurrency and blockchain sector since 2015. She has written for the Wall Street Journal, Bloomberg, CoinDesk, Bitcoin Magazine and Bitcoin.com.

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Last updated: 

June 18, 2025

The U.S. Senate has passed the Guiding and Establishing National Innovation for U.S. Stablecoins (GENIUS) Act in a 68–30 vote, marking the first time lawmakers have approved legislation focused on digital assets—a move welcomed by industry leaders.

The bill gained bipartisan support, with 18 Democrats joining most Republicans in favor. Only two Republicans opposed the measure. The GENIUS Act introduces a federal framework to regulate stablecoins, requiring dollar-backed reserves and clearly defined roles for state and federal oversight.

The bill seeks to integrate stablecoins into the broader financial system more securely, responding to longstanding calls from the crypto industry and financial institutions for consistent rules.

Anil Oncu, CEO of Bitpace, called the vote a turning point. “The bill provides the clarity businesses have been waiting for and allows stablecoins’ speed and cost benefits to be safely integrated by banks, PSPs, and card networks,” he said.

Oncu explains that the stablecoin supply has grown from under $10 billion to $239 billion in just five years, showing the need for safeguards and regulatory consistency.

Industry Leaders and Advocates Applaud the Move

Stand With Crypto, a U.S.-based crypto advocacy group, also welcomes the Senate’s decision, describing it as a key step toward securing America’s place in the evolving digital financial lsector.

The group, which represents a grassroots network of developers, users, and builders, advocates for stablecoin regulation to support innovation and consumer protection.

“Stablecoins play a critical role in America’s digital economy, bridging crypto and fiat currencies,” said Mason Lynaugh, community director at Stand With Crypto.

“We need legislation that ensures they are safe, fully backed, and transparent while fostering competition and innovation in the marketplace. This bill moves us closer to that reality.”

The organization says it will score lawmakers based on their votes on the GENIUS Act, using the results in future crypto policy scorecards to track political alignment on key industry issues.

A Bid to Reinforce U.S. Crypto Leadership

Beyond regulating stablecoins, the GENIUS Act is being seen as part of a broader attempt to re-establish the U.S. as a leader in blockchain development.

The lack of clear regulations has pushed some developers and companies abroad. According to Stand With Crypto, the U.S. share of global blockchain developers has dropped by roughly 14% since 2018, falling to 26% by 2023.

Industry voices argue that regulatory uncertainty is hindering and deterring institutional interest in the crypto sector. With stablecoins increasingly used in both retail and business payments, the GENIUS Act is positioned to help bridge those gaps by laying the groundwork.

Liat Shetret, vice president of global policy and regulation at blockchain analytics firm Elliptic, called the Senate vote “a pivotal step in shaping the country’s digital asset future.” She added,

“It’s clear that robust consumer protections and market integrity safeguards were central to driving approval, and the GENIUS Act benefited from strong nonpartisan support.”

The House is expected to take up the legislation in the coming weeks. While some industry advocates have urged rapid passage, others, including the Conference of State Bank Supervisors, are pressing for key changes to address potential risks to financial stability.