House Revives GENIUS Act, Stablecoin Law Could Become Reality This Week

With the procedural hurdle cleared, House leaders are expected to hold final votes before the chamber adjourns for its August recess. If approved, the GENIUS Act would head to President Trump, who has previously signaled he will sign it into law. The House vote is anticipated within days, potentially as early as this week, according to House leadership and industry observers.

Originally approved by the Senate on June 17 by a bipartisan margin of 68 to 30, the GENIUS Act (S.1582) is the first-ever federal legislation aimed at regulating stablecoins. Its key provisions include a licensing regime that allows only “permitted payment stablecoin issuers” to operate in the United States. These issuers must either be subsidiaries of FDIC-insured banks, federally chartered non-bank entities under the Office of the Comptroller of the Currency (OCC), or state-qualified issuers under strict conditions and a $10 billion issuance cap. The legislation mandates that all issuers hold full reserves in liquid assets like dollars and U.S. Treasuries, with monthly public disclosures. Issuers are also subject to the Bank Secrecy Act, must comply with anti-money laundering obligations, and are required to support freezing or blocking illicit transactions. They are prohibited from offering interest on stablecoin holdings to ensure the coins function solely as payment tools and not investment vehicles. Foreign-issued stablecoins must meet stringent regulatory standards to be allowed in the U.S. market.

Supporters of the bill say it brings much-needed clarity and accountability to a fast-growing stablecoin market now worth over $260 billion. With clearer rules and stronger safeguards, they believe the legislation lays the groundwork for responsible innovation. Legal experts and industry groups alike have called it a crucial step toward building trust and stability in the digital asset space.

Despite strong bipartisan support in the Senate, the House debate has been more contentious. Republican hardliners initially resisted the bills, demanding more explicit prohibitions on a central bank digital currency (CBDC) and stricter anti-surveillance provisions. Democrats, meanwhile, raised concerns over the adequacy of consumer protections and potential favoritism toward large corporations or Trump-affiliated digital asset ventures. Some members of both parties are seeking amendments to strengthen anti-money laundering clauses and place restrictions on Big Tech firms entering the stablecoin space. These divisions could still affect the final outcome if the House opts to modify the bill rather than adopt the Senate’s version intact.

The GENIUS Act is part of a broader legislative package under the banner of “Crypto Week,” which also includes the Digital Asset Market Clarity Act, intended to draw clearer lines between commodities and securities, and the Anti‑CBDC Surveillance State Act, aimed at blocking any effort by the Federal Reserve to issue a digital dollar. Some lawmakers hope to pass all three bills as a unified package, but others suggest the GENIUS Act has the best chance of advancing independently.

With procedural barriers now overcome, the United States appears closer than ever to enacting a comprehensive legal framework for stablecoins. Key questions remain about potential amendments, political trade-offs, and whether the House will adopt the Senate’s version or demand a conference committee. If the House votes to approve the bill this week, it will be sent to President Trump for his signature, marking a milestone moment in the regulation of digital assets.

This legislation is expected to provide long-awaited clarity to stablecoin issuers, allowing major players like Circle, PayPal, and possibly Bank of America to operate under a well-defined legal regime. It could also pave the way for deeper institutional integration of blockchain-based payment infrastructure.