Bitcoin News Today: U.S. Crypto Market Surges on Pro-Crypto Laws; Bitcoin Hits $123,000 All-Time High

The U.S. digital asset market is experiencing a surge driven by the passage of pro-crypto legislation in July 2025, which has reshaped regulatory frameworks and investor confidence. The Guiding and Establishing National Innovation for U.S. Stablecoins Act (GENIUS Act) and the Clarity Act have introduced clarity on stablecoin requirements, mandated 1:1 reserve backing for payment stablecoins, and repealed SAB 121—a rule that previously barred banks from custodizing crypto assets. These measures, signed into law by President Trump, prioritize the Commodity Futures Trading Commission (CFTC) over the Federal Reserve in crypto oversight and eliminate ambiguity for institutional participants, fostering a more stable environment for market growth [1].

Bitcoin (BTC) reached an all-time high above $123,000 following the legislative changes, according to Matthew Sigel of VanEck, who attributed the surge to dollar weakness, fiscal pressures, and the House’s pro-crypto initiatives during “Crypto Week.” The rally reflects heightened investor optimism, particularly as institutional demand for altcoins like BNB grows. Nano Labs, for instance, made a notable purchase of BNB, signaling a strategic shift toward diversifying digital asset portfolios beyond Bitcoin and Ethereum (ETH) [1].

The regulatory reforms have also spurred innovation in stablecoin adoption. Platforms like Stripe are leveraging Ethereum-based stablecoins for cross-border transactions, while six crypto firms—including Ripple, Circle, and Fidelity Digital Assets—are competing for a U.S. bank charter. This competition underscores the industry’s push for legitimacy, despite skepticism from figures like JPMorgan CEO Jamie Dimon. Guillaume Poncin of Alchemy described the regulatory climate as a “perfect storm” for innovation, predicting widespread adoption of stablecoins by major banks. However, the prohibition on direct interest payments for stablecoins under the GENIUS Act may drive demand for decentralized finance (DeFi) platforms, creating both opportunities and challenges for existing models [1].

The Biden administration’s pro-stablecoin stance, championed by Vice President JD Vance, positions these assets as tools to enhance U.S. economic influence. Projects like Circle’s $20 billion initial public offering and the Trump family-backed World Liberty stablecoin USD1 highlight growing institutional and political support. Critics, however, warn of political risks should anti-crypto factions regain power, potentially reversing the current momentum.

On-chain data reveals a shift in asset allocation, with traders favoring Ethereum over Bitcoin post-legislation. Ethereum’s ecosystem benefits from new exchange-traded products, driving inflows and price performance. Meanwhile, the BNB chain has seen increased developer activity on GitHub, indicating heightened protocol development. Analysts suggest that sustained regulatory clarity will accelerate long-term adoption of digital assets, mirroring growth patterns observed in Japan and South Korea after similar regulatory milestones [1].

The market’s evolution is marked by collaboration between crypto firms and traditional institutions. JPMorgan’s recent move to allow Bitcoin as collateral for loans exemplifies this convergence, while the GENIUS Act’s emphasis on transparency has prompted compliance upgrades across the industry. Proponents argue that tokenization could improve liquidity in global markets and expand financial inclusion, particularly in developing economies. The U.S. is positioning itself as a leader in this transition, with the GENIUS Act reinforcing the dollar’s dominance in trade while setting the stage for broader adoption of tokenized assets [2].

Source: [1] [title1Year of the stablecoin: The GENIUS Act, Wall Street, and ...] [url1https://cryptoslate.com/year-of-the-stablecoin-the-genius-act-wall-street-and-the-dollars-digital-leap/] [2] [title2U.S. stablecoin reforms boost institutional adoption 2025 ...] [url2https://www.ainvest.com/news/stablecoin-reforms-boost-institutional-adoption-2025-bipartisan-laws-pass-2507/] [3] [title3Crypto firms vie bank charter 2025 ...] [url3https://www.ainvest.com/news/crypto-firms-vie-bank-charter-2025-genius-act-2507/]