The US Senate is preparing to vote for a revised version of the Genius Act next week, a Stablecoin-oriented bill that has been updated to tackle the concern of Democratic legislators.
Last week the bill stopped after several Democratic legislators had withdrawn support, referring to gaps in anti-money laundering programs, weak supervision of foreign stablecoin emission and a lack of enforcement instruments.
In response, the sponsors of the bill have introduced important changes to sharpen the regulations controls and to strengthen the protection of national security.
Most important changes that have been introduced in genius law
According to available information, the updated account clauses on financial integrity, consumer protection and ethical standards enhance.
It also introduces language that focuses on the influence of major technology companies and foreign entities in the digital currency room.
In the meantime, one of the most important changes is a provision that hinders non-financial, listed companies to spend stabilecoins, unless they meet strict conditions. These include clear frameworks for risk management, data privacy and honest business behavior.
Former Fox -company journalist Eleanor Terrett noted that the aim of the amendment is “to maintain the separation between bank and trade”.
This would essentially be the financial ambitions of major technology companies such as Meta, Google, Amazon and Microsoft Certification of the launch of digital currencies that can circumvent the investigation research.
In particular, the revision comes shortly after reports have shown that Meta is in early discussions with crypto companies about making cross-border stablecoin payments on its platforms.
Moreover, the revised bill also clarifies that Stablecoins do not have federal insurance protection, which reduces the risk of consumer confusion and financial fraud.
All these changes are intended to set clear legal limits while maintaining the role of traditional financial institutions.
Crypto -Industrie Mobilizes prior to votes
In the run-up to the floor voice of next week, crypto-interest groups made efforts to push the legislation.
Stand with Crypto, a Crypto-interest group supported by Coinbase, has launched a campaign that encourages voters to e-mail their senators to support the bill.
Another Crypto Advocacy Group, the Blockchain Association, repeated that sentiment and said that moving the account would be “coming a step closer to creating a dual framework for Stablecoins.”
Coinbase CEO Brian Armstrong joined the push and called on the legislators “to create clear rules for crypto in America.” He added:
“52 million Americans have used crypto and want to see regulatory clarity.”