GENIUS Act clears Senate motion, House lawmakers reintroduce Blockchain Certainty Act

US lawmakers precocious 2 blockchain-related legislative efforts connected May 21, approving the GENIUS Act for statement and reintroducing the Blockchain Regulatory Certainty Act successful the House.

Lawmakers voted 69–31 to approve a question to proceed connected the Government and Enterprise Need for Innovation successful the United States Act, oregon GENIUS Act, allowing ceremonial statement and amendment processes to begin. 

The question follows a successful 66–32 cloture vote held May 19, which capped archetypal negotiations and demonstrated bipartisan enactment for the underlying bill.

Senate statement connected GENIUS Act

The GENIUS Act sets standards for stablecoin issuance, requiring issuers to support high-quality liquid reserves, typically US Treasuries oregon insured deposits, afloat backed 1:1 against outstanding liabilities. 

It prohibits offering yield-bearing products and mandates issuer compliance with know-your-customer (KYC) procedures, suspicious enactment monitoring, and anti-money laundering (AML) programs.

Depending connected the issuance scale, issuers indispensable besides run nether the supervision of national authorities oregon federally certified authorities regulators. 

Approval for statement includes an amendment process allowing for extended treatment and the quality to bounds it. The open-ended statement process allows senators to suggest and reappraisal amendments earlier immoderate last vote.

Blockchain Regulatory Certainty Act

While Senate deliberations proceed, lawmakers successful the House reintroduced a abstracted measurement to amended regulatory clarity for developers. 

Congressmen Tom Emmer (R-MN) and Ritchie Torres (D-NY) filed the Blockchain Regulatory Certainty Act to codify protections for bundle developers and blockchain work providers who bash not custody lawsuit assets.

The bill, besides known arsenic the “Blockchain Regulatory Certainty Act,” proposes a national harmless harbor that would forestall developers and node operators from being treated arsenic wealth transmitters, fiscal institutions, oregon different regulated intermediaries solely by producing oregon maintaining blockchain software.

The measurement specifies “blockchain developer” arsenic immoderate entity creating oregon maintaining bundle for decentralized networks and defines “control” arsenic the ineligible authorization to unilaterally entree and transact with integer assets without a 3rd party.

Furthermore, the measure states that developers oregon work providers cannot beryllium taxable to authorities oregon national licensing obligations unless they power users’ integer assets. It besides clarifies that the measure does not preempt intelligence spot instrumentality oregon forestall states from enforcing compatible regulatory frameworks.

The House did not docket the markup oregon level ballot of the Blockchain Regulatory Certainty Act. Yet, it signals renewed momentum connected the House broadside to differentiate custodial and non-custodial actors successful integer plus ecosystems.

The station GENIUS Act clears Senate motion, House lawmakers reintroduce Blockchain Certainty Act appeared archetypal connected CryptoSlate.