The GENIUS Act: A Long Overdue Framework for Blockchain-Era Banking
The recent Senate vote to advance the GENIUS Act—a bipartisan bill to regulate stablecoins—is more than just another milestone in crypto policy. It represents a long-overdue recognition that fiat-backed digital dollars are not speculative assets; they are infrastructure.
At Anderson P.C., we strongly support the GENIUS Act and believe it lays the foundation for a safer, more credible, and ultimately more competitive U.S. digital economy.
Why the GENIUS Act Matters
The GENIUS Act aims to introduce federal guardrails for stablecoins—digital assets that maintain a 1:1 peg to the U.S. dollar or other fiat currencies. Its key provisions include:
Reserve requirements to ensure that stablecoins are fully backed.
Priority for repayment to coin holders in bankruptcy scenarios.
Mandatory compliance with anti-money laundering and counter-terrorism laws.
A prohibition on members of Congress and senior executive officials issuing payment stablecoins while in public office.
This framework helps protect consumers, ensures transparency, and allows stablecoins to flourish as legitimate financial tools—without the regulatory ambiguity that has stifled responsible innovation.
“It really should be a bipartisan bill that regulates fiat-backed digital dollars—not speculative crypto or memecoins. This isn’t casino chips; it’s banking infrastructure for the blockchain age.”
— Braeden Anderson to Bloomberg Law
Stablecoins Belong Under the OCC, Not the SEC
One of the most critical aspects of the GENIUS Act is that it nudges regulatory authority in the right direction—away from securities regulation and toward prudential banking oversight.
Fiat-backed stablecoins are, by nature and function, banking products. Treating them as securities under the SEC’s jurisdiction creates confusion and friction for institutional adoption.
“As a banking tool, stablecoins should be regulated by the Office of the Comptroller of the Currency instead of the SEC, which may prompt broader adoption and invite more large financial institutions to act as issuers.”
— Braeden Anderson, Anderson P.C.
We believe that OCC supervision—similar to what governs national banks—would streamline compliance, promote innovation, and encourage leading financial institutions to modernize their infrastructure for the blockchain age.
Political Noise Shouldn’t Derail Progress
Opposition to the GENIUS Act has largely focused on peripheral political controversies, particularly around former President Trump’s ties to stablecoin issuer World Liberty Financial. While ethical guardrails are important—and the bill includes such provisions—the policy value of the legislation must be judged on its merits.
“This is better technology. It’s certainly the future, and hopefully Washington can get it together quickly so our digital economy can flourish.”
— Braeden Anderson to Bloomberg Law
The stakes are high. Without a cohesive national framework, the U.S. risks ceding leadership to jurisdictions like the EU, which already have comprehensive rules in place (e.g., MiCA). Fragmentation across state-level regimes further complicates compliance, capital access, and consumer trust.
A Leap from 2D to 3D
The move to blockchain-based payments and tokenized banking systems isn’t just evolutionary—it’s transformational.
“This is like going from 2D to 3D.”
— Braeden Anderson, Anderson P.C.
Stablecoins represent a leap forward in efficiency, security, and financial inclusion. They can settle instantly across borders, reduce transaction fees, and serve as programmable, composable infrastructure in a digital-first economy.
Their regulatory framework must be rigorous, credible, and banking-grade—but it must also be designed to empower innovation, not paralyze it.
Final Thoughts
The GENIUS Act is not perfect—but it is essential. It’s the first real step toward federal regulation that makes stablecoins usable, scalable, and safe. And for policymakers who care about U.S. leadership in digital finance, it's a moment to seize—not stall.
At Anderson P.C., we’re proud to help clients navigate the regulatory frontier of digital assets and fintech innovation. We believe the GENIUS Act is the smartest path forward, and we urge lawmakers to move swiftly to bring this much-needed legislation into law.
To speak with our digital assets team or learn more about our regulatory practice, contact us at www.anderpc.com
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