The GENIUS Act Stablecoin Bill Has Passed the Cloture Motion in the US Senate

On the morning of May 20th, Beijing time, the U.S. Senate passed the cloture of the GENIUS Act stablecoin bill with 66 votes in favor and 32 votes against.

The U.S. Senate on Friday passed cloture on the GENIUS Act stablecoin bill with 66 votes in favor and 32 votes against.

The vote came after the bill unexpectedly failed to get 60 votes needed to advance from a vote on Monday.

The cloture motion, which is intended to end debate on an issue and prevent lawmakers from delaying or blocking a bill through filibuster, will now allow the Senate to proceed with the full debate and amendment process on the GENIUS Act.

Earlier this year, U.S. President Donald Trump said that the administration is expected to introduce a regulatory framework for stablecoins and market institutions by August, when Congress will go into recess.

If the bill is eventually passed by Congress and the president, it will be the first federal-level legislation on stablecoins in the United States.

The bill, which is officially known as the "Stablecoin Tether, Utility, and Investment into Sagely Evonomy Act," is a bipartisan effort to regulate the issuance and use of stablecoins.

Stablecoins are a type of cryptocurrency that is pegged to the value of another asset, such as a fiat currency or commodity. They are used for various purposes, including payments, remittances, and cross-border transactions.

The GENIUS Act would create a new licensing regime for stablecoin issuers and impose a range of requirements on them, such as maintaining a 1:1 reserve ratio for their stablecoins and complying with anti-money laundering laws.

The bill would also subject large technology companies that issue stablecoins to additional regulations, in recognition of the potential risks and impacts of Big Tech involvement in the financial sector.

It is still unclear what impact these new clauses will have on the bill's chances of passage.

The House of Representatives and the president would still need to approve the bill for it to become law.

Generally speaking, when a bill is introduced, it will be assigned to a committee. Committee members will study, discuss and amend the bill. The GENIUS Act proposed by Senator Bill Hagerty was introduced on February 4 this year, and the committee assigned to it is the Banking, Housing and Urban Affairs Committee of the U.S. Senate.

The bill will then go to a vote in the chamber it belongs to. If the bill passes in one chamber of Congress, it will be sent to the other chamber for the same study, discussion, amendment, and voting process.

Once both chambers have voted to pass the bill, the two sides must reconcile the differences in the two versions. Then, both chambers will vote on the same version of the bill for the final time. If the bill passes, it will be sent to the President of the United States.

Once the president receives a bill, he or she will review it. The president can either approve the bill and sign it into law, or he or she can refuse to approve it, which is called a veto. If the president chooses to veto a bill, in most cases Congress can vote on the veto to overturn the president's decision and make the bill law. However, if the president does not sign a bill while Congress is not in session, the bill is automatically vetoed. This action is called a pocket veto, and Congress cannot override this type of veto.

Judging from the current progress of the GENIUS Act, it will take time for the Senate to pass it, because filibusters are allowed to prevent the bill from entering the final vote. This time, the cloture motion requires a three-fifths supermajority (60 votes out of 100 votes). The current seats in the Senate are as follows: Republicans: 53 seats, Democrats: 45 seats, and independents: 2 seats (usually voting with the Democrats). In other words, in this vote, even if all Republican members vote in favor, they must get the support of Democratic members.

Now, after the Senate voted to pass the motion to end debate, the GENIUS Act will enter the Senate's full debate and amendment stage, and then will enter the House of Representatives.

However, legislation in the House of Representatives only needs a simple majority (218 out of 435 votes) to pass. Currently, the House of Representatives is controlled by the Republican majority (220-215), so the GENIUS Act will be relatively easy to pass in the House of Representatives.

If the GENIUS Act is successfully signed into law by the President, it will have a profound impact on the stablecoin market. For example, it will promote industry consolidation, and some small issuers may be forced to exit the market due to their inability to meet reserve requirements. Increased consumer trust is expected to promote the adoption of stablecoins. Strengthening reserve audits and anti-money laundering compliance measures is expected to increase market transparency and attract institutional investors. However, the issuance of stablecoins by non-financial technology companies may be restricted. The new provisions stip