- Main event, leadership changes, market impact.
- Stablecoin regulation framework established.
- Strengthened U.S. digital asset leadership.
Donald Trump signed the GENIUS Act into law at the White House on July 18, 2025, attended by key industry leaders and congressional members.
The GENIUS Act signifies a critical shift in U.S. cryptocurrency regulation, introducing strict stablecoin regulations aiming to enhance market trust.
President Trump has been a notable supporter of digital asset initiatives, such as his March 2025 Executive Order on digital asset reserves. The GENIUS Act mandates 100% reserve backing for stablecoins, aiming to secure the stablecoin market effectively.
“We worked hard. It’s a very important act, the GENIUS Act. They named it after me,” said Donald Trump, President of the United States. CBS News.
The law impacts companies including Tether and Gemini, requiring monthly disclosure of reserves. The act intends to bolster traditional financial institution confidence in digital asset engagements, with potentially far-reaching consequences for the market.
These measures strengthen the dollar’s reserve role and prioritize consumer protection. With federal-state alignment, stablecoin operations can expect easier compliance and potential for more interstate operability.
Other nations’ regulatory actions, like the EU’s MiCA, have shown such regulations might increase compliance costs and market shifts. Historical parallels suggest regulatory compliance could lead to issuer consolidation and increased stability for stablecoins.
