Trump Administration Advances Crypto Legislation with GENIUS Act Passing 68-30

David Sacks, the White House AI and crypto czar, recently celebrated a significant legislative victory as President Donald Trump shifted his focus towards crypto legislation. This move comes amidst a broader political landscape where Trump's administration is navigating through a series of contentious bills and executive actions. The bill in question, which features substantial tax cuts and spending reductions, has faced opposition from both Democrats and some Republicans. Despite the opposition, the bill has been praised by Republican leadership for codifying much of Trump's agenda into law.

The shift in focus towards crypto legislation is part of a broader strategy by the Trump administration to address the growing importance of digital currencies and blockchain technology. This move is seen as a proactive step to ensure that the United States remains at the forefront of technological innovation. The administration's emphasis on energy and data center expansion is central to this strategy, as these resources are crucial for the development and implementation of AI and crypto technologies.

Sacks announced via Twitter that President Trump and congressional leaders secured key victories in what he called “One Big Beautiful Bill.” The legislative package included major wins on border security, tax cuts, welfare reform, and deregulation. Sacks praised the success and immediately shifted attention to the next agenda, which centers on advancing key crypto-related bills through Congress.

Sacks stated that the House is to start its so-called Crypto Week on July 14. He said the GENIUS Act is headed to the Presidential desk, and the CLARITY Act is now making its way into the Senate. The GENIUS Act, backed by 68 votes in favor and 30 against, presents the first national proposal to establish a stablecoin framework based on the US dollar. It grants the US Treasury the power to supervise stablecoin makers, such as banks, financial technology companies, and payments providers. Once implemented, the law will give licensed institutions permission to issue regulated digital payment tokens. Its proponents argue that it will create a transparent business environment and safeguard consumers in the online financial arena.

While the GENIUS Act moves toward final approval, attention now shifts to the CLARITY Act. The bill was introduced to the House on May 29 and advanced through committee review on June 10. It aims to establish the regulatory framework for digital assets, such as token types and changing transactions. This will bring clarity to the market players and better protect investors within the crypto environment. Legislators predict that the CLARITY Act will, similarly to the GENIUS one, pass on a wide-reaching bipartisan basis. Cumulatively, these bills build the administration’s digital asset policy.

Signaling its ambition to lead the global digital asset space, the Trump government has pushed forward two key bills seen as critical to achieving that goal. With the GENIUS Act nearing final approval and the CLARITY Act awaiting House action, crypto regulation now leads the administration’s policy efforts. The administration's approach to crypto legislation is not without its challenges. Senator Dick Durbin has introduced a bill designed to prevent fraud at crypto ATM machines, highlighting the need for regulatory oversight in the rapidly evolving crypto landscape. Additionally, the administration's handpicked FHFA Director Bill Pulte has ordered Fannie Mae and Freddie Mac to study the use of crypto holdings as collateral for mortgages, indicating a willingness to explore innovative financial solutions.

The celebration of the major bill by David Sacks underscores the administration's commitment to advancing its legislative agenda despite political opposition. The focus on crypto legislation reflects a recognition of the potential of digital currencies to reshape the financial landscape and drive economic growth. As the administration continues to navigate the complexities of legislative politics, its emphasis on technological innovation and regulatory oversight will be crucial in shaping the future of the crypto industry.