Senate Passes Stablecoin Bill in Win for Trump, Crypto Industry

Washington, D.C. — In a major boost for the cryptocurrency sector and President Donald Trump, the U.S. Senate passed the “GENIUS Act,” a landmark stablecoin bill, on Tuesday evening with a bipartisan vote of 68-30. The legislation establishes a regulatory framework for dollar-pegged cryptocurrencies, marking a rare moment of cross-party cooperation in a deeply divided Congress.
The bill, backed by Trump, faced heated debate as Republicans successfully fended off Democratic attempts to bar the president from profiting off his extensive crypto ventures during his term. Stablecoins tied to Trump’s projects currently boast a market value of $2 billion.
The GENIUS Act requires stablecoin issuers to hold reserve assets, such as short-term Treasury bills, equal to the dollar amount issued, with oversight from state or federal regulators. Supporters in the crypto industry argue this will pave the way for stablecoins to become a mainstream payment option, offering a faster and cheaper alternative to traditional bank transactions like credit cards or checks. Some retailers have echoed this sentiment, citing lower transaction costs.
However, the banking sector, particularly small and medium-sized institutions, raised alarms that stablecoins could erode deposits and complicate access to credit. Meanwhile, major banks are exploring issuing their own stablecoins to capture profits from reserve-generated interest. Tether, the dominant stablecoin issuer, already reaps billions annually from its reserves.
The House of Representatives is advancing its own crypto regulation bill, which includes broader measures for the digital asset market. Lawmakers must now decide whether to align with the Senate’s version or hammer out a compromise.
The passage of the GENIUS Act is a triumph for the crypto industry, which has spent years and hundreds of millions of dollars lobbying for favorable regulations. Last year’s election saw crypto giants form the most well-funded corporate political action coalition in U.S. history, with plans already in motion for the 2026 midterms.
If signed into law, the bill could allow tech giants and other non-financial companies to issue stablecoins, potentially blurring the lines between finance and commerce in ways not seen before.
Critics warn of risks to financial stability, while proponents see a bold step toward modernizing America’s payment systems. The debate is far from over, but for now, the crypto industry—and Trump—can claim a hard-fought victory.