Senator Cynthia Lummis of Wyoming Has Placed the Outdated US Payment Infrastructure in the Spotlight

She has argued that digital assets, particularly stablecoins, offer a faster, cheaper, and more accessible alternative

Senator Cynthia Lummis has placed the outdated US payment infrastructure in the spotlight, highlighting how it disadvantages small businesses and pushes innovation offshore. According to a recent report by CoinDesk, Lummis has been a vocal advocate for modernizing the financial system to keep pace with the rapidly changing technological landscape.

As the Senate advanced the Guiding and Establishing National Innovation for US Stablecoins (GENIUS) Act, Lummis's position has gained renewed momentum. The bill, which passed a key 66–32 vote to defeat a filibuster, is the first comprehensive federal proposal to regulate stablecoins. It establishes clear frameworks for issuers, introduces consumer protections, and aims to maintain the US dollar's dominance in global finance.

However, Lummis has also pointed out that when a small business owner in Cheyenne tries to pay an international supplier using traditional methods, they face delays of up to 10 days and transaction fees as high as 5%. In contrast, stablecoins complete similar transactions in seconds, at a fraction of the cost, and operate 365 days a year.

"This isn't just inconvenient. It's a complete disadvantage to American businesses," Lummis stated.

The GENIUS bill is now set to be considered by the full House of Representatives. If passed by both chambers of Congress and signed into law by President Trump, the US could become the global leader in stablecoin oversight and innovation.

Lummis's home state of Wyoming is also backing the Senator's message through practical implementation. The state is preparing to launch its own government-backed stablecoin, the WYST, by July.

Created under the Wyoming Stable Token Act signed into law in 2023, the token will be pegged to the US dollar and redeemable for fiat. The Wyoming Stable Token Commission has partnered with LayerZero for the development and deployment of the asset, which is already being tested on multiple networks.

Wyoming's stablecoin initiative serves as a working model for how state governments can embrace blockchain technology, bolstering the case for broader federal adoption.

The GENIUS Act comes at a time when stablecoins have become the leading form of transaction volume on blockchain networks. As the international race for regulation intensifies, the bill seeks to prevent US innovation from moving offshore.

Comparable regulatory structures have already taken effect in the European Union with MiCA, and other jurisdictions such as Singapore, Hong Kong, the UAE, and Japan are also implementing stablecoin laws.

Backers of the bill, including Senators Kirsten Gillibrand, Bill Hagerty, Tim Scott, and Angela Alsobrooks, argue that the legislation will promote responsible innovation and provide regulatory clarity, giving US-based issuers the confidence to scale securely.

Industry stakeholders have also voiced support, noting that the framework could enhance market integrity while positioning the US as a global standard-setter.