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On July 18, 2025, President Donald Trump signed into law the Guiding and Establishing National Innovation for U.S. Stablecoins (GENIUS) Act, marking the United States’ first major national cryptocurrency legislation. The bipartisan bill passed the Senate by a vote of 68–30 and the House of Representatives by 308–122, signaling growing political support for digital asset regulation.
🪙 Key Provisions of the GENIUS Act
- Stablecoin Oversight: Introduces a dual regulatory framework:
- Federal Reserve oversees bank-issued stablecoins
- Office of the Comptroller of the Currency (OCC) regulates non-bank issuers with holdings over $10 billion
- Asset Backing Requirements: All stablecoins must be fully backed by U.S. dollars, Treasury securities, or demand deposits
- Transparency Measures:
- Monthly public disclosure of reserve composition
- Annual audits for issuers with market caps exceeding $50 billion
- Legal Recognition: Stablecoin payment systems are now a distinct category within U.S. financial law
🗣️ Support and Criticism
Supporters, including crypto executives and lawmakers, hailed the law as a historic breakthrough that will:
- Provide regulatory clarity
- Encourage mainstream adoption
- Strengthen U.S. leadership in financial innovation
Critics, however, raised concerns about:
- Systemic financial risks
- Insufficient anti-money laundering safeguards
- Potential conflicts of interest, citing Trump’s promotion of the $TRUMP coin
The GENIUS Act follows years of lobbying and over $245 million in campaign contributions from the crypto sector during the 2024 election cycle.
