Trump Demands “Lightning Fast” Passage of GENIUS Act
U.S. President Donald Trump has publicly urged the House of Representatives to pass the GENIUS Act (Guiding and Establishing National Innovation for US Stablecoins) without delay. Following a 68–30 Senate approval, Trump took to Truth Social to say, “Get it to my desk, ASAP — NO DELAYS, NO ADD ONS.” He described the bill as an “incredible” leap toward making America the “undisputed leader in digital assets.”
Why the GENIUS Act Matters
The GENIUS Act introduces a federal framework for dollar-pegged payment stablecoins, aiming to regulate the growing sector of blockchain-based digital money.
Under the bill:
- Stablecoin issuers must maintain 1:1 reserves, meaning every dollar-backed token must be backed by an actual dollar or equivalent.
- Licensing will be mandatory, either at the federal or state level.
- Issuers will have to comply with anti-money laundering (AML) laws.
- Consumer protection provisions will be strengthened.
- Use of reserves will be limited to redemptions and low-risk investments, such as U.S. Treasury repos.
These safeguards are designed to prevent shadow banking, reduce the risk of a financial crisis, and ensure that digital dollars remain safe and liquid.
Political Divide but Growing Support
The bill initially faced resistance during its first Senate cloture vote in May, mainly from Democrats concerned about Trump’s links to crypto ventures.
Senator Elizabeth Warren criticized the legislation, warning that Trump and his associates could personally benefit through ventures like the USD1 stablecoin, claiming potential profits in the hundreds of millions.
Despite early opposition, other Democrats like Senator Mark Warner acknowledged the growing importance of stablecoins, warning that the U.S. cannot afford to “stand on the sidelines” as other nations move forward with digital finance innovations.
Economic and Strategic Implications
Senator Bill Hagerty, the bill’s sponsor, emphasized that GENIUS would enable instantaneous settlement of payments for both consumers and businesses. Supporters argue the legislation is critical to maintaining U.S. dollar supremacy in a rapidly digitizing global economy.
As the bill heads to the House — where Republicans hold a narrow majority — its passage could signal a historic shift in U.S. financial infrastructure, merging the strengths of traditional finance with the speed and efficiency of blockchain technology.
Disclaimer
This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss