US Senator Bill Hagerty Introduces Stablecoin Regulation Bill Called GENIUS Act

US Senator Bill Hagerty of Tennessee is introducing legislation aimed at establishing clarity on the regulation of stablecoins.

A bill being introduced in the US Senate today aims to establish clear regulations for stablecoins.

The legislation, being introduced by Tennessee Republican Senator Bill Hagerty, is called the GENIUS (Guiding and Establishing National Innovation in U.S. Stablecoins) Act.

The bill would define stablecoins as digital assets pegged to the U.S. dollar and establish licensing and reserve requirements for their issuers.

Issuers with more than $10 billion in stablecoins would be subject to regulation by the Federal Reserve, while those with less than $10 billion would be overseen by state regulators.

The legislation is designed to support financial inclusion, efficient transactions, and the dollar's supremacy, according to Hagerty's office.

“Stablecoins pegged to the USD are a crucial part of the US financial system,” Hagerty said in a statement.

“This bill will ensure they're regulated effectively, to support financial inclusion, efficient transactions, and dollar supremacy.

Stablecoins are digital assets that are pegged to a fiat currency, such as the U.S. dollar, and are designed to maintain a stable value.

They have become increasingly popular in recent years as a way to facilitate faster and cheaper transactions in the crypto space.

However, the regulatory landscape for stablecoins in the U.S. is still largely unclear, with different agencies and lawmakers proposing varying approaches to the matter.

This has led to concerns among industry players and crypto enthusiasts about the potential impact on the growth and adoption of stablecoins in the country.