Trump Signs GENIUS Act Structuring U.S. Crypto Market

Donald Trump has signed the GENIUS Act, marking a significant move to regulate the U.S. cryptocurrency market effectively.

The GENIUS Act aims to stabilize the crypto market and ensure investor protection, potentially reshaping global digital asset trends.

The GENIUS Act establishes clear federal rules for the U.S. cryptocurrency market. Signed by President Trump, it fulfills a campaign promise to boost the nation’s digital asset sector. Republican lawmakers, including Sen. Bill Hagerty and Rep. Mike Flood, played pivotal roles in its creation.

Stablecoins, such as USDC and USDT, are directly impacted by the new law. The act mandates 100% reserve backing and requires issuers to disclose their reserve compositions monthly. Compliance with these new rules is expected to increase investor trust and market stability.

The legislation seeks to drive institutional investment into the American crypto market, potentially increasing the global standing of the U.S. dollar. Industry executives attending the signing indicated support, seeing it as a revolution in financial technology akin to the Internet’s inception.

“This could be perhaps the greatest revolution in financial technology since the birth of the Internet itself.” — Donald Trump, President of the United States

Financial analysts predict this law could significantly enhance institutional investment in digital assets. Historical trends suggest regulatory clarity often results in capital inflow to compliant markets. While not directly targeting decentralized assets, the law is expected to encourage regulated institutional adoption.

While ETH and BTC are not the main focus, clearer U.S. regulations may attract institutional flows to compliant exchanges. The act’s success could position the U.S. as a leading crypto innovation hub, despite concerns about new forms of financial services. Industry experts anticipate a continued lobbying effort for favorable regulation as the crypto landscape evolves.