US House sends crypto ‘GENIUS Act’ to Trump, in win for industry advocates

Advocates anticipation House bills volition bring decentralised currency into US mainstream arsenic Trump pushes ‘crypto week’.

The United States House of Representatives has passed 3 bills related to cryptocurrency, sending 1 straight to US President Donald Trump and the different 2 to the US Senate.

The votes by the Republican-controlled enclosure travel amid a wider propulsion by the Trump medication to marque the US the “crypto superior of the world”, successful what the president has dubbed “crypto week”.

Trump and his family’s accent connected the mostly unregulated crypto manufacture has besides raised concerns it could beryllium utilized to disguise corruption and overseas influence.

The measure that volition spell straight to Trump is called the GENIUS Act. It sets archetypal guardrails and user protections for a cryptocurrency known arsenic stablecoins, which are tied to “stable” assets similar the US dollar to trim their volatility.

House Financial Services Chair French Hill said during statement connected Thursday that the measure volition “ensure American competitiveness and beardown guardrails for our consumers”.

“Around the world, outgo systems are undergoing a revolution,” helium said.

The authorities passed successful the Senate and by a 308-122 ballot successful the House. It garnered bipartisan enactment successful some chambers.

A 2nd measure would make a caller marketplace operation for cryptocurrency. It passed by a slimmer borderline of 294-134 and volition request to spell to the Senate, wherever lawmakers could trade a caller version.

That authorities aims to supply clarity for however integer assets are regulated, mostly by defining what forms of cryptocurrency should beryllium treated arsenic commodities regulated by the Commodity Futures Trading Commission and which are securities policed by the Securities and Exchange Commission.

Commodities are typically considered goods that tin beryllium traded oregon sold, portion securities, similar stocks and bonds, typically notation to partial ownership of an asset.

A 3rd bill, passed by a narrower 219-210 margin, would prohibit the US from offering what’s known arsenic a “central slope integer currency”, fundamentally a government-issued signifier of integer cash. It volition besides caput to the Senate.

Trump’s crypto interests

Cryptocurrencies, which are unmoored from immoderate cardinal authorities authority, person exploded successful popularity since archetypal emerging successful 2009.

But experts person said US operations person been curtailed by unclear laws governing the industry. Advocates person said the bills passed connected Thursday could assistance to hearken successful much mainstream adoption.

Still, Democrats captious of the GENIUS measure accused Republicans of fast-tracking the passage, portion failing to code Trump and aboriginal presidents’ interests successful cryptocurrency.

For example, a proviso successful the measure bans members of Congress and their families from profiting disconnected stablecoins. That prohibition does not widen to the president and his family.

Trump’s household holds a important involvement successful World Liberty Financial, a crypto task that launched its ain stablecoin, USD1. Trump reported earning $57.35m from token income astatine World Liberty Financial successful 2024, according to a nationalist fiscal disclosure released successful June.

A meme coin linked to him has besides generated an estimated $320m successful fees, though the net are divided among aggregate investors.

“No 1 should beryllium amazed that these aforesaid Republicans’ adjacent bid of concern is to validate, legitimise, and endorse the Trump family’s corruption and efforts to merchantability the White House to the highest bidder,” Representative Maxine Waters, the apical Democrat connected the House Financial Services panel, said amid the flurry of votes connected Thursday.

Since taking office, Trump has besides proposed creating a cryptocurrency “national reserve” and has suspended Department of Justice investigations related to cryptocurrency.

Some Democrats besides criticised the GENIUS measure for creating what they called an overly anemic regulatory model that could airs longterm fiscal risks.

They besides accidental the authorities opens the doorway for large corporations to contented their ain backstage cryptocurrencies.

Source:

Al Jazeera and quality agencies