- The GENIUS Act passed Senate Banking Committee, regulating stablecoin issuers at federal, state levels.
- Tether’s CEO highlighted strong relationships with the U.S. government and Cantor Fitzgerald.
- The crypto industry awaits clearer regulations to promote growth and protect consumers effectively.
As a key stablecoin bill inches closer to becoming law, Tether CEO Paolo Ardoino is highlighting his company’s strong relationship with the U.S. government.
The Guiding and Establishing National Innovation for U.S. Stablecoins Act (GENIUS Act) has passed the Senate Banking Committee in a bipartisan 18-6 vote, aiming to create regulatory and licensing requirements for stablecoin issuers, both at the federal and state levels.
In an interview with Bloomberg, Ardoino discussed the pending bill and what it means for stablecoins and their future. He also expressed excitement about Tether, the company that created stablecoins in 2014, issued USDC, and now has the largest user base in the market.
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Tether’s Trump Connection: Cantor Fitzgerald
Ardoino specifically highlighted Tether’s partnership with Cantor Fitzgerald, the firm founded by Donald Trump’s Commerce Secretary Howard Lutnick. This connection is significant, given the current political climate and the ongoing debate over crypto regulation.
The CEO also opened up about the challenges crypto faced under the previous administration, particularly with the Operation Choke Point 2.0 initiative, which sought to stifle the crypto industry.
Related: U.S. Senate Committee OKs Stablecoin Bill, Balancing State & Federal Roles
Despite this, Tether was able to build a trusted relationship with the U.S. government, gaining support after Cantor Fitzgerald conducted thorough due diligence.
He said, “We are very grateful to the fact that they onboarded us in a period when the past administration in the United States just tried to almost kill crypto. They ( Cantor) got comfortable with us. They decided to onboard us and allow us to keep all our Treasury bills with them.
“So we are very grateful. We want to just make sure that we are heard because we represent the biggest use case for the digital US dollar represented by Stablecoins in the world.” the CEO added.
GENIUS Act: What’s Next?
With the GENIUS Act moving forward, the crypto industry is closely watching the progress of this bill.
Many industry players are hoping for clearer regulatory guidelines that could help the market grow while ensuring consumer safety. The outcome of the Genius Act can influence the US’ role in digital asset markets.
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