GENIUS Act Heads to the Senate Floor Amid High Stakes and Key Amendments

Posted by Ryan Fitzgerald on June 4, 2025

The GENIUS Act — a landmark bill to establish the first regulatory framework for stablecoins in the U.S. — is poised for Senate floor consideration over the next week. Co-authored by Senators Cynthia Lummis (R-WY) and Bill Hagerty (R-TN), the legislation would create a baseline set of rules for a stablecoin payment system, positioning credit unions, banks, and digital asset providers on equal regulatory footing. This move could mark the first formal step by Congress in addressing the digital asset space, especially for stablecoins, which now represent over $225 billion in circulation globally. 

Following a successful cloture vote, the GENIUS Act is now eligible for full Senate debate and amendment consideration. While the underlying bill has gained sufficient bipartisan support for passage, two proposed amendments have raised significant concerns across the financial services landscape, particularly for credit unions. 

During GoWest’s Spring Hike the Hill on May 20-21, credit union leaders heard rumblings that the language from the harmful Credit Card Competition Act (CCCA) was likely to be offered to the GENIUS Act as a formal amendment. This timely information while on the ground in D.C. provided GoWest advocates with an opportunity to dialogue with key senators and share credit union opposition to the amendment. A specific occasion presented itself as Wyoming credit union leaders met with Senator Lummis and her team, who helped author the GENIUS Act, where they were given an opportunity to raise important concerns regarding the harmful amendment and provided the senator with direct feedback from her constituents. It was a perfect reminder of the value of timely and direct credit union voices in the legislative process, especially when policy changes will have very far-reaching implications for the financial services industry. 

Concerning Amendments Threaten Progress 

The first of the two amendments, known as the Marshall-Durbin Amendment (S. AMDT. 2229), introduces language from the previously proposed CCCA. This amendment would impose price caps and network restrictions on credit card interchange — similar to what the Durbin Amendment did to debit cards under Dodd-Frank. Credit unions and other financial institutions warn that such measures would severely undermine interchange revenue at a time of rising fraud, while benefiting large retailers disproportionately. Credit unions and banks — alongside groups like the Electronic Payments Coalition and travel industry associations — remain firmly opposed. 

The second, the Hawley Amendment (S. AMDT. 2239), would cap credit card interest rates at 10%. Introduced earlier this year by Senators Josh Hawley (R-MO) and Bernie Sanders (I-VT), this proposal has garnered limited support but still poses a threat if attached to the GENIUS Act. 

If either of these amendments is adopted, it could effectively derail the GENIUS Act in the Senate. Moreover, even if it passes the Senate in such a form, House Financial Services Committee leadership has indicated the bill would be “dead on arrival” in the House. Chairman French Hill (R-AR), a former community banker, has made clear his opposition to legislation containing either the CCCA provisions or a federal interest rate cap. 

The Path Forward 

Following our discussion with Senator Lummis, she held a press conference where she outlined, “it’s been so challenging to get it (GENIUS Act) to this point, and we’re not done yet. I do consider amendments that are off topic — meaning not having to do with stablecoins — to be a bridge too far.” 

Senator Lummis also expressed her appreciation to our credit unions for sharing their concerns with her and outlined to the press that she had not made a final decision on the credit card bill, but said, “I certainly don’t want to vote on it on this bill.” 

Despite these hurdles, stakeholders are advocating for a clean version of the GENIUS Act — one that preserves its original intent to modernize financial regulation without the weight of unrelated or controversial provisions. For credit unions, the bill provides a critical opportunity to remain competitive in the evolving digital asset space. It ensures equal regulatory treatment, establishes AML/BSA standards for non-traditional financial providers, and opens the door for credit unions to custody digital assets. 

Senator Lummis and her team have worked diligently to ensure credit unions have a seat at the table in shaping this foundational framework, and our continued engagement will be essential as final negotiations unfold. 

GoWest and our partner organizations continue to monitor developments closely, advocating vigorously against harmful amendments while supporting the core goals of the GENIUS Act. As Senate Majority Whip John Thune (R-SD) and the bill’s sponsors engage in ongoing discussions, we remain committed to keeping credit union leaders informed and prepared for next steps in this pivotal policy debate.  

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Posted in Across the Region, Advocacy, Top Headlines.