The GENIUS Act passed the House on July 3 with bipartisan support, introducing strict stablecoin regulation and now awaits Trump’s signature.
Author: Akshat Thakur
July 18, 2025 — The U.S. House of Representatives has officially passed the Guiding and Establishing National Innovation for US Stablecoins (GENIUS) Act, a major step toward stablecoin regulation.
The bill received overwhelming bipartisan support, clearing the chamber with a 308–122 vote. With the Senate already approving it in June, the final decision now rests with President Donald Trump, who is expected to sign it before the August recess.
Under the GENIUS Act, stablecoins must be fully backed by U.S. dollars or Treasury-equivalent assets at all times. This measure is designed to avoid algorithmic instability and restore user confidence. It sets a clear benchmark for how assets must be held and audited, a cornerstone of the new stablecoin regulation.
The bill requires all regulated stablecoin issuers to publish third-party audits every month. These must verify not just reserve levels but the quality of backing assets. This emphasis on regular reporting aims to prevent the kind of opacity that led to the downfall of previous stablecoin projects.
Offering interest or yield on regulated stablecoins will be strictly prohibited under this new stablecoin regulation. Centralized firms and DeFi platforms will have to rethink their product lines. Popular models involving lending, staking, or rebasing rewards will no longer be allowed for compliant stablecoins.
The legislation creates a new federal license specific to stablecoin issuers. Alternatively, issuers can apply for a national trust bank charter, which allows them to bypass individual state licensing. This dual-path system provides flexibility but increases the pressure on firms to meet bank-grade standards.
Adam Minehardt
@adam_minehardt
It’s finally done! GENIUS Act passes by a vote of 308 to 122. Big vote, with 102 Ds joining 206 Rs to send this bill to @realDonaldTrump to be signed into law tomorrow afternoon. Congrats to all who worked so hard on this over the last 5 years! https://t.co/0BaixABfyS
07:57 PM·Jul 17, 2025
Marty Win
@ParszywyZyd
Genius Act passed the House. President @realDonaldTrump will sign it into law tomorrow. https://t.co/q0c6B1ObB7
07:31 PM·Jul 17, 2025
Roundtable Network
@RTB_io
🇺🇸 JUST IN: White House confirms GENIUS Act will pass the House and head to Trump’s desk. Karoline Leavitt says a signing ceremony is already being planned for tomorrow. #Crypto #Trump #Bitcoin #GENIUSAct #CryptoNews https://t.co/Nzdmidi6WZ https://t.co/Yjmgv3JRCE
NEWS: President Donald #Trump diagnosed with chronic venous insufficiency, a benign condition common in people over 70. White House Press Sec. Karoline Leavitt says there’s no #DVT, no arterial disease, and that Trump is undergoing regular #care. https://t.co/EUB1JhYEgK https://t.co/ribeg66saD
06:48 PM·Jul 17, 2025
Foreign stablecoins will need to comply with U.S. rules if they’re offered to American users. Issuers based in friendly jurisdictions may apply for exemptions, but they must still meet audit and reserve mandates. This could limit the presence of tokens like $EURT or $SGD-backed coins in the U.S. market unless they adapt to stablecoin regulation.
The bill avoids specifying how truly decentralized projects will be regulated, creating uncertainty in the DeFi space. Platforms using algorithmic stablecoins or offering wrapped assets may be forced to operate outside U.S. compliance unless further guidance is issued. This omission could become a point of legal friction.
Stablecoin regulation will fall under the jurisdiction of multiple agencies — including the OCC, Treasury, and Federal Reserve — depending on the issuer’s licensing path. Smaller issuers under $10B may be able to remain under state oversight, but only if their state offers a compliant framework.
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