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The Senate Banking Committee's bipartisan support of the GENIUS Act means stablecoin authorities could get astatine the president's table successful a substance of months, according to Bo Hines.
Bo Hines, the enforcement manager of the President’s Council of Advisers connected Digital Assets, said broad stablecoin authorities is expected to beryllium finalized successful the coming months, underscoring the government’s urgency to support the US dollar’s dominance successful onchain activity.
Speaking astatine the Digital Asset Summit successful New York connected March 18, Hines said stablecoin authorities is “imminent” pursuing the Senate Banking Committee’s approval of the GENIUS Act past week.
The GENIUS Act, which is an acronym for Guiding and Establishing National Innovation for US Stablecoins, establishes collateralization guidelines for stablecoin issuers and requires afloat compliance with Anti-Money Laundering laws.
“We saw that ballot travel retired of the Senate Banking Committee successful highly bipartisan fashion, [...] which was fantastic to see,” said Hines, adding:
“I deliberation our colleagues connected the different broadside of the aisle besides admit the value for US dominance successful this space, and they’re consenting to enactment with america here, and that’s what’s truly breathtaking astir this. You know, there’s not galore issues successful Washington, DC, successful which folks tin travel unneurotic from some sides of the aisle and truly propel the United States guardant successful a mode that’s comprehensive.”
Bo Hines (right) speaking astatine the Digital Asset Summit connected March 18. Source: Cointelegraph
When asked astir erstwhile stablecoin authorities volition beryllium passed, Hines said, “I deliberation that stables could beryllium connected the president’s table present successful the adjacent 2 months.”
Right now, the marketplace seems to beryllium underestimating what this measure “could bash for the US system successful presumption of US dollar dominance, successful presumption of outgo rails, successful presumption of altering the people of fiscal markets,” said Hines.
Related: Banks propulsion to artifact stablecoin authorities implicit marketplace stock fears
Extending the dollar’s hegemony
The US dollar accounts for the immense bulk of the $230 cardinal worthy of stablecoins successful circulation, suggesting that the greenback remains the currency of prime for backing cryptocurrency accounts and sending remittances overseas.
Some manufacture experts judge this volition alteration successful the aboriginal arsenic stablecoins go multicurrency, but truthful far, integer dollars stay the overwhelming favorite.
Dollar-denominated stablecoins predominate the market. Source: DefiLlama
US Treasury Secretary Scott Bessent said the Trump medication volition usage stablecoins to maintain the dollar’s status arsenic the planetary reserve currency, which partially explains the consciousness of urgency to propulsion authorities implicit the decorativeness line.
“We are going to enactment a batch of thought into the stablecoin regime, and arsenic President Trump has directed, we are going to support the US [dollar] the ascendant reserve currency successful the world, and we volition usage stablecoins to bash that,” Bessent told the White House Crypto Summit connected March 7.
Treasury Secretary Scott Bessent pictured alongside President Donald Trump astatine the White House Crypto Summit connected March 7. Source: The Associated Press
Magazine: Unstablecoins: Depegging, slope runs and different risks loom
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