GENIUS Act and Clarity Act: U.S. House Passes Historic Crypto Bills in Major 'Crypto Week' Shift

In a historic move for the cryptocurrency industry, the United States House of Representatives passed three major crypto bills this week, marking what is now being called “Crypto Week.” 

The most significant of these, the GENIUS Act and the Clarity Act, represent the country’s first standalone legislation targeting the regulation of digital assets—specifically stablecoins. 

With strong bipartisan support, this legislative package aims to bring order and clarity to the fast-evolving crypto space, setting the stage for broader adoption and regulation.

The GENIUS Act: A Turning Point for Stablecoins

The GENIUS Act, short for Guiding and Establishing National Innovation for U.S. Stablecoin, passed with a 308-122 vote in the House, after having already cleared the Senate. 

Its core purpose is to regulate stablecoins, a type of cryptocurrency that is pegged to fiat currencies like the U.S. dollar.

The bill mandates:

• That stablecoin issuers maintain dollar-for-dollar reserves.

• Implementation of clear anti-money laundering frameworks.

• Public disclosures of reserves to enhance transparency.

Stablecoins are often hailed as a safer alternative to more volatile cryptocurrencies, and this new regulation aims to balance innovation with consumer protection.

President Trump, a vocal supporter of the crypto sector, played a pivotal role in rallying votes after internal Republican disagreements stalled progress. His intervention cleared procedural hurdles, allowing the GENIUS Act vote to proceed.

READ ALSO: GENIUS Act Boosts Bitcoin: What the Stablecoin Bill Means for Crypto Market

The Clarity Act and Other Bills in Focus

Alongside the GENIUS Act, the House also advanced the Clarity Act and a bill that prevents the federal government from launching a central bank digital currency (CBDC). While those two still await Senate approval, their passage in the House marks growing momentum for crypto-related legislation.

The Clarity Act focuses on defining which agencies—such as the SEC or CFTC—have jurisdiction over different kinds of digital assets. This effort aims to eliminate regulatory confusion that has hindered crypto development in the U.S.

The third bill restricts the government from creating a digital dollar, responding to concerns around privacy and state control.

The Politics Behind the Crypto Bills Passed

Passage of these crypto bills was not without controversy. Lobbying from the crypto industry played a major role, with over $100 million spent on congressional campaigns in the last cycle. Critics argue this spending gave undue influence to industry players and silenced opposition.

However, supporters contend that this legislative clarity is long overdue. For businesses operating in the U.S., especially those in the stablecoin space, the GENIUS Act offers a much-needed regulatory framework that aligns with innovation and financial freedom.

READ ALSO: Can I Do Yield Farming with USD1 Stablecoin?

Stablecoins: Why They Matter

Stablecoins are increasingly seen as the foundation of the future of payments. Unlike Bitcoin or Ethereum, which can fluctuate wildly in value, stablecoins offer predictability. This makes them appealing for:

• Cross-border payments

• E-commerce platforms

• Peer-to-peer transfers

Major corporations, including retailers and financial institutions, are reportedly exploring stablecoin issuance to avoid traditional banking fees and delays. The GENIUS Act brings legal certainty to these ambitions, possibly accelerating mainstream adoption.

President Trump’s own family stands to benefit through financial interests in World Liberty Financial, a firm that has issued a stablecoin named USD1.

What’s Next for U.S. Crypto Regulation?

With the GENIUS Act heading to President Trump’s desk and two more bills awaiting Senate debate, this “crypto week” could mark the beginning of a new regulatory era in the United States. 

Industry leaders hope that the clarity provided by these bills will encourage innovation, reduce legal uncertainty, and ensure responsible growth.

Still, critics urge caution, emphasizing that consumer protection and enforcement must keep pace with industry expansion.

READ ALSO: Why XRP Is Soaring: Ripple’s Expansion, ETF Optimism & Price Outlook

Conclusion

The House’s approval of the GENIUS Act and Clarity Act during this pivotal “crypto week” signals a paradigm shift in how the U.S. government approaches digital assets. 

As these new rules take shape, stablecoin providers, developers, and investors alike will need to adapt to a more structured—but potentially more rewarding—landscape.

FAQ

What is the GENIUS Act?

The GENIUS Act is legislation regulating stablecoins, ensuring reserve backing, transparency, and anti-money laundering compliance.

What are the three crypto bills passed?

They include the GENIUS Act, Clarity Act (for regulatory jurisdiction), and a bill to ban the creation of a digital dollar.

What does the Clarity Act aim to do?

It clarifies which U.S. agencies will regulate different types of crypto assets, ending jurisdictional confusion.

Why is this called 'Crypto Week'?

Because the House passed multiple major crypto bills in a single week, marking a turning point in crypto regulation.

What's next after the GENIUS Act vote?

The bill heads to President Trump for signing. Two additional bills await Senate approval to become law.