US Senate advances landmark stablecoin regulation bill with bipartisan support
The GENIUS Act passed committee with a 13-11 vote, setting the stage for the first comprehensive federal framework governing dollar-pegged digital assets.
Crypto — March 3, 2026
The United States Senate Banking Committee advanced the Guiding and Establishing National Innovation for US Stablecoins (GENIUS) Act on Monday, moving the bill to the Senate floor for a full vote in what would represent a landmark step in digital asset regulation.
The bill passed committee with a 13-11 vote, drawing support from eight Republicans and five Democrats—a level of bipartisan backing that surprised some observers given how contentious crypto regulation has been in previous Congresses.
The GENIUS Act would require all stablecoin issuers to maintain 1:1 reserves of high-quality liquid assets—primarily US Treasury bills and cash deposits—and submit to federal oversight from either the Federal Reserve or the Office of the Comptroller of the Currency.
Tether, the world's largest stablecoin issuer with $145 billion in circulation, would need to obtain US federal registration if it wishes to operate in American markets. The company has historically been offshore-domiciled in the British Virgin Islands.
Circle, the issuer of USD Coin (USDC), has actively lobbied for the legislation, viewing federal regulation as a competitive moat against offshore rivals. Circle CEO Jeremy Allaire testified before the committee that 'clear rules are good for innovation and good for the dollar's global role.'
The bill's opponents, primarily progressive Democrats, raised concerns about allowing Big Tech companies—including Meta, Google, and Amazon—to issue their own stablecoins, which the bill's current text would permit under certain conditions.
If passed into law, the GENIUS Act would make the US the first major economy to have a comprehensive national stablecoin framework, potentially drawing significant digital asset activity away from the EU and Singapore.
