Stablecoin GENIUS Act
A stablecoin is a digital currency pegged to a fiat currency, such as the U.S. dollar.
To balance innovation and security, the U.S. has proposed the GENIUS Act, which sets forth clear procedures for licensing and standards for stablecoins.
Among the key aims of the GENIUS Act are to define payment stablecoins as “a digital asset used for payment or settlement that is pegged to a fixed monetary value,” establish clear procedures for firms seeking licenses to issue stablecoins, and “light-touch, tailored regulatory standards” for issuers.
The GENIUS Act builds on the discussion draft Hagerty submitted last October for the former Chair of House Financial Services Committee Patrick McHenry’s Clarity for Payment Stablecoins Act.
“Cantor Fitzgerald is not conducting continuous diligence on Tether’s financial statements, but I believe my statements were accurate when made,” Lutnick said according to a published transcript, dialing back his previous claim that “Tether has every penny, and it can produce liquidity on a moment’s notice.”