U.S. Senate Advances "GENIUS Act" Stablecoin Bill Amid Debate

The U.S. Senate voted 68-30 on Wednesday, June 11, 2025, to advance the "GENIUS Act," a stablecoin bill that could proceed to a final vote as early as Monday, June 16, barring any agreement between party leaders to expedite the process.

Formally titled the Guiding and Establishing National Innovation for U.S. Stablecoins Act, the bill would mandate that all stablecoins be fully backed by U.S. dollars or similarly liquid reserves. It would also require yearly audits for issuers with more than $50 billion in market value and includes provisions for the oversight of foreign issuers.

Wednesday's vote to invoke cloture clears the way for further debate. While several Democrats supported the measure, others, including Senate Minority Leader Chuck Schumer, Elizabeth Warren, and Amy Klobuchar, voted against it. Their stated concerns centered on potential regulatory loopholes, money laundering safeguards, and possible conflicts of interest related to President Donald Trump.

The Trump administration has publicly expressed support for the bill. In a statement released on Monday, senior White House advisors indicated they would recommend the president sign it if it reaches his desk. President Trump has reportedly pushed for stablecoin legislation before the August recess, viewing it as part of a broader initiative to integrate crypto finance into the mainstream.

Senate Banking Chair Tim Scott, a co-sponsor of the bill, characterized it as a "win for national security and innovation," crediting bipartisan cooperation for its progress. Majority Leader John Thune echoed this sentiment from the floor, adding that the GENIUS Act "moves crypto into the mainstream" and could help the U.S. become a global leader in digital assets.

However, Senator Warren delivered a critical speech in opposition, cautioning that without further amendments, the bill could facilitate what she termed "presidential corruption through crypto." She specifically criticized President Trump's alleged involvement with World Liberty Financial, a DeFi venture reportedly tied to his family that recently launched its own stablecoin and offered dinner with Trump to memecoin holders. "Through his crypto business, Trump has created an efficient means to trade presidential favors for hundreds of millions, perhaps billions, from foreign governments and big corporations," Warren asserted, concluding, "By passing the GENIUS Act, the Senate is not just looking the other way - it's enabling it."

The GENIUS Act faces an uncertain path in the House of Representatives, where lawmakers are considering their own version of a stablecoin bill, the Stablecoin Transparency and Accountability for a Better Ledger Economy Act, which advanced out of committee last month. That bill differs in its approach to state and federal regulation of issuers and its treatment of foreign entities like Tether. Some House Democrats have also suggested merging stablecoin legislation with a broader crypto market structure bill, the CLARITY Act, which moved forward through two House committees on Tuesday. That proposal, too, has reportedly sparked pushback over President Trump's financial ties to the crypto world, with several proposed amendments focused on potential conflicts of interest.