Senate Passes GENIUS Act Boosting Stablecoin Confidence 20%

The U.S. Senate's passage of the GENIUS Act on June 17, 2025, has introduced comprehensive guidelines to ensure that stablecoins are fully backed by real U.S. dollars and are monitored by trusted financial authorities. This development has sparked optimism in the market, with confidence surging in stablecoin issuers and their key partners. Circle, the company behind USDC, has seen renewed momentum, bolstered by continued enthusiasm for its recently launched public stock. Coinbase, a strategic partner of Circle, enjoyed a rally, reflecting optimism that regulation may bring more institutional clarity and inflows. Ethereum also posted modest gains, benefiting from its status as the backbone for most stablecoin infrastructure.

The market response to the GENIUS Act has been overwhelmingly positive. Social trend data shows a clear bullish majority discussing the act, with far more positive mentions than bearish ones. This sentiment reflects broad enthusiasm for regulatory clarity, which many see as a green light for greater institutional participation in the crypto space.

However, the GENIUS Act is not without controversy. Some in the crypto community argue that the bill may favor politically connected players, pointing to language that could quietly benefit projects linked to well-connected actors. Critics worry that the framework may cement advantages for centralized entities while leaving smaller, decentralized projects at a disadvantage.

Market behavior also suggests a potential cooldown. Much of the price appreciation occurred before the Senate vote, indicating classic “buy the rumor, sell the news” dynamics. Now, attention shifts to the House. If the bill clears the final hurdle and sparks government-led pilots or institutional partnerships, crypto assets could see a renewed rally. But if momentum fades, the short-term top may already be in.

The GENIUS Act could become a landmark moment in U.S. crypto legislation, setting the stage for wider adoption of stablecoins. However, whether it ushers in a fair and open financial future—or a new wave of insider privilege—remains a topic of heated debate. The outcome will depend on how the House handles the bill and the subsequent implementation of the regulatory framework.