U.S. Senate to Vote on GENIUS Act Stablecoin Bill by May 26

The United States Senate is expected to vote by May 26 on the GENIUS Act, a bill aimed at regulating stablecoins. The announcement was made by Senate Majority Leader John Thune, who informed Republican lawmakers that the vote could take place before the Memorial Day recess.

Introduced in February by Senator Bill Hagerty and passed in March by the Senate Banking Committee, the bill proposes that stablecoin issuers be licensed entities, known as “permitted payment stablecoin issuers.” These issuers would be required to hold full reserves, comply with anti-money laundering regulations, and undergo regular audits.

The bill also clarifies that stablecoins are not considered securities or commodities, eliminating existing legal uncertainty. In parallel, the STABLE Act, with similar objectives, has been introduced in the House of Representatives.

The legislative initiative comes amid the growing use of stablecoins in fast and low-cost digital payments. The debate also follows an executive order signed by former President Donald Trump regarding stablecoins, and the recent launch of the USD1 stablecoin by a crypto firm associated with his family.