GENIUS Act Heads to the House, Here’s What Could Happen Next

Key Takeaways

• The U.S. Senate has passed the GENIUS Act.
• The House is under pressure to vote on the legislation before the August recess.
• Another option is that the House advances its own STABLE Act and Congress reconciles the two bills.

The Guiding and Establishing National Innovation for U.S. Stablecoins (GENIUS) Act has cleared its final Senate vote and will now head to the House for consideration.

House Republicans are under pressure to pass the bill before the August recess. But there are still a few hurdles that could stand in the way.

Republicans Under Pressure To Fast-Track Stablecoin Regulation

After years of glacial progress, stablecoin regulation has emerged as a top priority for the Trump administration.

Earlier this year, the president said he wanted stablecoin legislation on his desk before Congress breaks for its August recess.

In the House, the Financial Services Committee advanced the Stablecoin Transparency and Accountability for a Better Ledger Economy (STABLE) Act in April. But ultimately, the Senate’s rival bill progressed faster.

Following the recent GENIUS Act vote, House Representatives have two options: adopt the Senate bill as it stands or advance the STABLE Act and work to reconcile the two pieces of legislation.

Two Options for the House

With less than 50 days to go until the summer recess, embracing the GENIUS Act is the most likely path for Congress to pass stablecoin legislation in the current session.

Even minor amendments to the bill would require potentially lengthy conference talks with the Senate.

House Republicans are therefore under pressure to rush the GENIUS Act through as it stands, but with an even slimmer majority than their Senate peers, that could prove a challenge.

If the GENIUS Act doesn’t receive the necessary votes, another option is for the House to continue pushing through the STABLE Act and then merge the two bills in a process known as reconciliation.

GENIUS Act vs. STABLE Act

Although 18 Senate Democrats broke ranks to vote for the GENIUS Act, ultimately, the STABLE Act resonates more with the party’s broader stance on crypto.

Key differences between the two bills include how they divide responsibility for overseeing stablecoin issuers and varying degrees of strictness when it comes to reporting requirements.

The more relaxed GENIUS Act would allow issuers with less than $10 billion of stablecoins in circulation to be regulated by state authorities.

It also includes stronger language to limit conflicts of interest, a key sticking point for many Democrats in light of Donald Trump’s expanding crypto ventures.

GENIUS Act vs. STABLE Act