Georgia Republican Senator Marjorie Taylor Greene has renewed her criticism of the Government Enhancing National Unified Stability Infrastructure Act (GENIUS), a sweeping cryptocurrency-focused law signed during Donald Trump’s second presidential term.
The bill, signed into law on July 18, establishes a federal framework for the regulation of stablecoins and marks the first significant crypto legislation enacted in the United States.
Related: Wall Street’s genius bill could spell trouble for the largest stablecoin issuers
The GENIUS Act sets out reserve, transparency and oversight standards for issuers of stablecoins, digital assets designed to maintain a stable value by being pegged to traditional currencies like the U.S. dollar or commodities like gold.
Trump praised Sen. Bill Hagerty (R-Tenn.) for sponsoring the bill, which passed the Senate on a bipartisan 68-30 vote on June 17 and then passed the House on July 17.
However, Greene was among a small group of lawmakers who voted against the measure.
At the time, she explained her objections to X, warning that the legislation could pave the way for a central bank digital currency (CBDC):
“Remember when Canada froze truckers’ bank accounts and cryptocurrencies in protest of vaccine mandates? Congress will pass a bill today (the Genius Act) that will open a backdoor to a CBDC… Why are we passing a bill to lay the groundwork for a CBDC that can be used against us by another authoritarian regime in the future?…I vote no!”
Although the Genius Act does not explicitly authorize a CBDC, critics believe that several of its provisions could indirectly authorize a CBDC.
The law establishes a federal licensing and oversight framework for stablecoin issuers, granting the U.S. Treasury Department and the Federal Reserve the authority to oversee reserve management, audit compliance and approve new issuers.
Specifically, the bill allows the Federal Reserve to coordinate with payment service providers and develop technical standards for interoperable digital asset transactions.
Additionally, the bill authorizes federal regulators to suspend, restrict, or modify stablecoin operations if systemic risks arise, which critics see as a potential precedent for centralized trading controls.
On December 9, Green reiterated her concerns, claiming that House Speaker Mike Johnson failed to fulfill his promise to include a CBDC ban in the National Defense Authorization Act (NDAA), which was originally proposed by Minnesota Republican Rep. Tom Emmer.