Bitcoin News Today: Stablecoins Surge $4 Billion to $250 Billion as U.S. Regulators Enact GENIUS Act

Stablecoins added $4 billion to their market capitalization in July, surpassing $250 billion, driven by the enactment of the U.S. GENIUS Act, which regulates the stablecoin industry. The law, signed by President Donald Trump on July 18, was seen as a major step forward for regulatory clarity, despite excluding interest provisions for stablecoin holders that had been a point of contention with industry leaders [1]. This regulatory progress has bolstered confidence in the sector, with monthly active stablecoin addresses rising over 20% to 38 million and total transaction value reaching $7 trillion in Q1 2025 [2].

Simultaneously, Bitcoin exchange reserves continued a downward trend, declining by 2% in July, which marked the first time since 2018 that less than 15% of the total Bitcoin supply was on exchanges [3]. Analysts interpret this decline as a sign of long-term holding behavior among investors, who are increasingly taking their Bitcoin off exchanges amid expectations of price appreciation or heightened volatility [4]. The reduction in exchange reserves also raises the possibility of a Bitcoin supply shock, as demand remains strong while available supply dwindles [5].

Tokenized real-world assets (RWAs) saw significant growth in July, with total value rising by 2.6% to exceed $25 billion. This growth was driven by tokenized private credit and U.S. Treasury debt, with tokenized stocks increasing by 15% to over $400 million. Robinhood’s entry into RWA trading further accelerated adoption [6]. However, legal uncertainties persist, particularly around investor protections and the nature of equity tokens offered by private firms [7].

U.S. states also advanced their crypto regulatory frameworks, with Missouri, New Hampshire, and Oregon passing new laws. Missouri established legal tender status for gold and silver-backed currencies, while New Hampshire created a committee to study RWA and stablecoin regulation. Oregon updated its abandoned property law to include crypto assets. In Arizona, Governor Katie Hobbs vetoed a bill that would have allowed the state to seize crypto assets forfeited by law enforcement [8].

Globally, seven countries took steps to regulate the crypto industry in July. Hong Kong finalized stablecoin rules and launched a public registry for licensed issuers. In Europe, Bybit, OKX, and CoinShares received licenses under the MiCA framework, with Bybit operating in Austria and OKX and CoinShares in France. Ripple and AllUnity are seeking European expansion and regulatory approval, respectively [9]. In the U.S., both Ripple and Circle are pursuing banking licenses that would allow national operations under federal oversight [10].

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[1] Stablecoins add $4B, Bitcoin exchange reserves below 15%: July in charts (https://cointelegraph.com/news/stablecoins-4b-bitcoin-exchange-reserves-july-charts?utm_source=rss_feed&utm_medium=rss%3Frefresh%3D175****997165%26_t%3D175****997165%26timestamp%3D175****997165&utm_campaign=rss_partner_inbound)