The final text of the GENIUS Act (Guiding and Establishing National Innovation for U.S. Stablecoins Act of 2025) is available through official Senate documents and includes comprehensive regulatory provisions for payment stablecoins in the United States. The Act establishes a federal and state licensing framework for stablecoin issuers, sets strict reserve and redemption requirements, and mandates robust consumer protections and compliance measures.
Key Provisions from the Final Text:
- Federal and State Qualified Issuers: Only entities approved by the Office of the Comptroller of the Currency (OCC) or by state regulators can issue payment stablecoins in the U.S.
- Reserves: Stablecoins must be fully backed by high-quality liquid assets—U.S. currency, insured deposits, short-term Treasuries, or qualified repos.
- Consumer Protections: Holders have first priority in insolvency, reserve assets are excluded from bankruptcy estates, and redemption rights are protected.
- Compliance: Issuers must comply with the Bank Secrecy Act, implement anti-money laundering (AML) and sanctions programs, conduct customer verification, and submit to regular audits
- Penalties: Misrepresentation of stablecoins as legal tender or insured instruments is prohibited, with penalties up to $500,000 per violation.
- International Coordination: The Treasury may establish reciprocal frameworks with foreign jurisdictions.
- Transition: Digital asset providers must stop offering stablecoins from non-permitted issuers within three years of enactment.
You can read the full legislative text here:
- GENIUS Act PDF – Senate Banking Committee
- GENIUS Act PDF – Senator Hagerty
- Congress.gov Bill Text
Senate Passes the GENIUS Act—A New Era for Stablecoins
🚨 BREAKING: The U.S. Senate has passed the GENIUS Act, a historic step for digital assets and stablecoin regulation!
The Guiding and Establishing National Innovation for U.S. Stablecoins (GENIUS) Act sets the first comprehensive federal framework for stablecoin issuers, ensuring consumer protection, market stability, and clarity for innovators and investors alike.
What does the GENIUS Act do?
- Establishes strict licensing for stablecoin issuers—federal and state approval required.
- Mandates 1:1 reserves in cash, insured deposits, or short-term Treasuries.
- Guarantees redemption rights and prioritizes consumer protection in insolvency.
- Requires robust AML, KYC, and compliance programs.
- Prohibits misrepresentation and sets steep penalties for violations.
This bipartisan legislation is the result of months of negotiation and input from industry, legal, and government experts. It’s a major milestone for the U.S. digital asset sector and positions America as a global leader in stablecoin innovation.
Next up: The GENIUS Act heads to the House for a final vote before reaching the President’s desk. Stay tuned for updates as the U.S. charts a new course for responsible crypto innovation!
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