Senate Advances GENIUS Act focused on Stable Coins Without Amendments

The Senate has moved to advance the Guiding and Establishing National Innovation for US Stablecoins (GENIUS) Act without an amendment to include the Credit Card Competition Act.

The Senate advanced the bill in a 68-30 vote, moving it closer to final approval. The legislation aims to regulate payment stablecoins in the US by establishing a federal framework and enhancing consumer protection.

A majority of senators, including several Democrats, voted to invoke cloture on the bill, clearing the way for debate and a full floor vote before it possibly moves to the House of Representatives for further review.

The updated bill requires all stablecoins to be fully backed by US dollars or equivalent liquid assets and mandates annual audits for issuers with market capitalizations exceeding $50 billion.

Senate Banking Committee Chair Tim Scott hailed the vote as a “major victory for innovation and national security,” emphasizing the bipartisan support driving the bill.

However, the bill progressed without including amendments to incorporate the Credit Card Competition Act (CCCA), which would require the use of third-party payment networks.

This omission comes despite Senators Roger Marshall and Richard Durbin proposing an amendment last month to add the CCCA to the GENIUS Act.

The CCCA would require credit card issuers to provide merchants with network options beyond Visa and Mastercard. Supporters say this increased choice would boost competition and drive down network fees.

While the CCCA won’t move forward as part of the GENIUS Act, payments experts believe its sponsors will continue pushing to get the legislation passed.