House Passes GENIUS Act 215-211 Clearing Path for Trump Signature

The GENIUS Act, a significant piece of legislation focused on stablecoins, has cleared a crucial hurdle in the U.S. House of Representatives. On Wednesday, July 16, the House voted 215–211 to advance the bill, marking a procedural green light for the legislation. This vote sets the stage for the GENIUS Act to potentially reach President Donald Trump’s desk by the end of the week, pending a successful final vote.

The GENIUS Act is part of a broader legislative push that includes the Digital Asset Market Clarity Act, also known as the Clarity Act. This companion bill aims to establish a comprehensive regulatory framework for digital assets, clearly defining the jurisdictions of the Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC).

The procedural vote to advance the legislation was supported solely by Republican representatives, as no Democratic representatives backed the motion. This division highlights the partisan nature of the debate surrounding stablecoin regulation. President Trump had previously indicated that key legislators had agreed to support the bill, which helped to resolve internal disagreements within the Republican party ahead of the vote.

Earlier in the week, the GENIUS Act and the Clarity Act faced a setback when they were blocked in a 196–223 vote. This initial failure was largely due to divisions within the Republican camp, particularly among members of the House Freedom Caucus. Representatives Marjorie Taylor Greene, Chip Roy, and Michael Cloud were among those who voted against the bill, citing concerns over the potential creation of a national stablecoin that could function as a central bank digital currency (CBDC).

Rep. Greene expressed her opposition to the GENIUS Act, stating that it did not sufficiently address her concerns about digital freedom and surveillance. She argued that the act did not explicitly ban CBDCs or maintain people’s chain of custody, which are critical issues for her. However, the House is also advancing the Anti-CBDC Surveillance State Act, which directly prohibits the U.S. government from issuing programmable money, addressing some of Greene's concerns.

The passage of the GENIUS Act and the Clarity Act would represent a significant step forward in the regulation of stablecoins and digital assets in the U.S. The legislation aims to provide clarity and oversight in a rapidly evolving financial landscape, ensuring that stablecoins are used responsibly and transparently. The final vote on the GENIUS Act is expected to take place in the coming days, with the potential for it to be signed into law by President Trump before the end of the week.