The bill, which sets up a regulatory framework for payment stablecoins, reached Trump’s desk after a tumultuous week in the House, in which competing GOP factions revolted over a trio of crypto bills.
The chaos brought the House floor to a standstill and resulted in the longest vote on record in the chamber.
Republican leaders struck a deal late Wednesday night to move forward with consideration of the bills, unfreezing the floor and allowing votes to proceed on Thursday.
The House ultimately voted 308-122 to pass the GENIUS Act, with 102 Democrats joining most Republicans to support the legislation.
Here’s are several key things to know about the newly minted stablecoin law:
‘Seal of approval’ for crypto industry
The signing of the GENIUS Act marks a key milestone for the industry, as the “first step of the U.S. government really regulating cryptocurrency,” said Rob Nolan, a partner at Duane Morris and a member of the law firm’s digital assets and blockchain group.
As the first major digital assets bill to clear Congress and receive the president’s signature, it imbues the industry with new legitimacy.
“It’s a big deal because when you have a law … it essentially gives a Good Housekeeping seal of approval to the industry,” Ian Katz, managing partner at Capital Alpha, told The Hill.
“You now have Congress and the president of the United States signing off on the legitimacy of this industry.”
Broader crypto framework still in the works
While the industry secured a key victory with the GENIUS Act, it represents just one part of the regulatory puzzle for digital assets.
“This is just the first little bite at the apple because it really is a small portion of cryptocurrency assets,” Nolan added.
Stablecoins are just one type of cryptocurrency. They are tied to another asset, like the U.S. dollar, to maintain a more stable price
Congress has yet to pass legislation creating a broader crypto framework. The key issue at hand is how to split up oversight between the Securities and Exchange Commission and the Commodity Futures Trading Commission.
Check out the full report at TheHill.com tomorrow morning.
