GENIUS Act: Stablecoin holders gain super-priority in bankruptcies

GENIUS Act: Stablecoin holders gain super-priority in bankruptcies
The GENIUS Act (Guiding and Establishing National Innovation for U.S. Stablecoins Act), signed by President Trump on July 18, 2025, grants stablecoin holders super-priority claims on reserve assets in issuer bankruptcies—outranking even taxes and wages. However, since issuers cannot tap into these reserves for administrative costs, they may face insolvency without restructuring, potentially prompting liquidation