Senator Bill Hagerty, along with co-sponsors Senators Tim Scott, Cynthia Lummis, and Kirsten Gillibrand, has unveiled an updated version of the GENIUS Act stablecoin bill in a move that is set to shake up the cryptocurrency industry.

This revised bipartisan legislation, which builds on the groundwork laid in February, takes into account feedback from various industry stakeholders to enhance the regulatory landscape for stablecoins in the United States. The goal is to foster innovation and strengthen the country's position as a global leader in the crypto arena.

One of the key revisions includes the expansion of "Reciprocity for Payment Stablecoins Issued in Overseas Jurisdictions," a significant update that aims to streamline cross-border stablecoin issuance. The bill now includes specific requirements for overseas stablecoins, emphasizing the importance of establishing reciprocal agreements with countries that have similar regulatory frameworks in place.

The GENIUS Act also broadens the definition of a "Comptroller-regulated entity" to encompass Federal qualified nonbank payment stablecoin issuers and organizations authorized by the Comptroller. Additionally, new rules have been introduced for issuers regarding transaction blocking and compliance with legal orders, with a focus on enhancing consumer protections and risk mitigation.

Senator Gillibrand lauded the updated legislation for its substantial improvements across various areas, such as state pathways, transparency, and more, underscoring the bill's comprehensive approach to addressing critical issues within the stablecoin ecosystem.

The reintroduction of the GENIUS Act comes at a time when the US is ramping up efforts to regulate the cryptocurrency space. The Senate Committee on Banking, Housing, and Urban Affairs is slated to convene on March 13, 2025, at 10:00 a.m. ET for an executive session to review the bill, setting the stage for further discussions on the future of stablecoin regulation in the country.