Washington: The US House of Representatives passed a bill Thursday establishing new rules for dollar-backed stablecoins, sending it to President Donald Trump, who is expected to sign it into law.

According to Anadolu Agency, the bill, called the GENIUS Act, passed with strong bipartisan support in a 308-122 vote. The legislation aims to provide a clear regulatory framework for stablecoins, which are cryptocurrencies pegged to the value of a fiat currency like the US dollar. This move is seen as a significant step in bringing more stability and trust to the rapidly growing digital asset market.

In addition to the GENIUS Act, the House also passed the broader CLARITY Act, which seeks to regulate the wider cryptocurrency market. This bill passed with a 294-134 vote and now moves to the Senate for consideration. The CLARITY Act represents an effort to address the regulatory uncertainties that have surrounded the crypto industry, aiming to protect consumers and promote innovation within the sector.