GENIUS Act Approved by House, Paving Way for Stablecoin Regulation

Ripple CEO Brad Garlinghouse has hailed the GENIUS Act as a historic leap for stablecoins, marking a significant moment in the evolution of digital finance. As the legislation advances towards final approval by the President, Garlinghouse emphasized that the GENIUS Act represents the most substantial financial reform in the United States since the 2008 financial crisis. This landmark bill aims to establish clear regulatory guidelines for stablecoins, a move that Garlinghouse believes will solidify the country's position as a leader in innovative financial technology.

In a post via X (formerly Twitter), Garlinghouse expressed optimism about the potential of stablecoins in driving change within the digital finance industry. He highlighted that the signing of the GENIUS Act would pave the way for new opportunities and innovations in the sector. The XRP community responded enthusiastically to Garlinghouse's remarks, with crypto commentator John Squire (@TheCryptoSquire) describing the moment as a pivotal point in the future of finance. Squire noted that the GENIUS Act signifies the U.S. securing its place as a global innovator in stablecoins.

Ripple’s Chief Legal Officer, Stuart Alderoty, also weighed in on the development, noting the parallel progress of the CLARITY Act in the Senate. Alderoty emphasized the growing momentum behind clear and practical frameworks for crypto and stablecoins, which he believes will protect consumers and foster innovation. This sentiment was echoed by House Majority Whip Tom Emmer, who confirmed the passing of the GENIUS Act in the House. Emmer highlighted that the bill would modernize the payment system, defend the dollar’s global reserve currency status, and support a robust regulatory framework for stablecoin issuers within the United States.

Bipartisan support has been instrumental in the bill’s progress. Garlinghouse publicly acknowledged several members of Congress who played a crucial role in advancing the legislation, including Rep. French Hill, Rep. Dusty Johnson, Rep. Angie Craig, Rep. Don Davis, Rep. Bryan Steil, Speaker Mike Johnson, and others. Their collective efforts reflect a growing consensus on the need for digital asset regulation as global standards continue to develop.

The GENIUS Act addresses the increasing demand from the fintech sector and digital asset users for regulatory clarity. By outlining a framework for stablecoins under U.S. law, the legislation aims to mitigate risks while promoting innovation. As the bill moves closer to final approval, it signals a significant shift in U.S. financial policy, bringing stablecoins out of a legal gray area and into a phase of regulatory certainty. This development sets the stage for long-term growth in the digital economy, with stablecoins poised to play a key role in the future of finance.