- The GENIUS Act passed a key Senate vote with 66-32 support, reviving hopes for stablecoin rules.
- A bipartisan amendment addressed ethics and tech issues, swaying key Democrats to back the bill.
- If passed in the House, the law could open doors to regulated U.S. stablecoin issuance and adoption.
The U.S. Senate has taken a historic step toward stablecoin regulation. On Monday night, the GENIUS Act passed a major Senate vote. Sixteen Democrats joined Republicans to push the bill forward. The final tally was 66-32, crossing the 60-vote threshold needed. This bipartisan move came just two weeks after Democrats blocked the same bill. Political tides quickly shifted over the weekend.
Behind the scenes, key senators negotiated new amendments. These included stronger consumer protections and limits on tech firms issuing stablecoins. Senators Cynthia Lummis, Kirsten Gillibrand, Mark Warner, and Ruben Gallego led the talks. The agreement helped unlock support from more Democrats.
The amendment also added ethics rules for tech-linked public officials. This would temporarily apply to Elon Musk and David Sacks. But the rules would not stop President Donald Trump from engaging in crypto projects. That remains a point of concern.
Senator Elizabeth Warren criticized the bill on the Senate floor. She warned that the bill still allows political corruption. Other Democrats proposed alternative bills, with Senator Michael Bennet introducing the STABLE Act to restrict elected officials from endorsing digital assets.
These proposals are unlikely to pass in the Republican-controlled Senate. Still, Democrats plan to force votes on them this week. Senate Majority Leader John Thune voiced frustration over the delay. He noted that no changes were made to the main bill.
The GENIUS Act is expected to face a final Senate vote before the Memorial Day recess. Then, it heads to the House. The bill’s goal is to create a clear framework for issuing stablecoins in the U.S. That has drawn strong industry support.
Stablecoins are cryptocurrencies tied to fiat currencies like the U.S. dollar. They help users avoid using traditional banks or fiat systems. If passed, the law could open the door for institutional investments in crypto. Wall Street firms are watching closely.
Related: Bo Hines Confirms Stablecoin Legislation After GENIUS Act
Brian Armstrong, CEO of Coinbase, praised the Senate vote. He thanked lawmakers and called the bill a major win for innovation. His group, Stand With Crypto, warned senators that opposing the bill could hurt their political ratings. That added pressure before the vote. Supporters believe this legislation could finally bring regulatory clarity. Critics argue it leaves gaps, especially regarding political ethics.
The House still needs to pass its version of the bill. If successful, the GENIUS Act will head to President Trump’s desk. Until then, lawmakers remain divided. But for now, the Senate has reignited momentum for stablecoin legislation in the United States.
