Trump Signs GENIUS Act Regulating $264 Billion Stablecoin Market

The GENIUS Act, a significant piece of legislation aimed at regulating the stablecoin market, was officially signed into law by President Donald Trump on July 18. This landmark legislation is set to stabilize the stablecoins market by protecting consumers, minimizing money laundering, and fostering innovation. The signing ceremony at the White House was attended by key figures in the crypto industry, including Tether (USDT) CEO Paolo Ardoino and Coinbase Global Inc. CEO Brian Armstrong.

President Trump highlighted the importance of the GENIUS Act, stating that it marks a major milestone for the financial industry. He described the potential impact of stablecoins as a revolutionary development in financial technology, comparing it to the birth of the internet. The legislation aims to keep the U.S. dollar as the global reserve currency with the help of stablecoins, which have a net valuation of over $264 billion.

The GENIUS Act provides a clear regulatory framework for the stablecoin market, which is expected to attract more institutional investors into blockchain technology and the wider crypto space. This regulatory clarity is seen as a catalyst for the Securities and Exchange Commission (SEC) to provide guidance on how SEC registrants can use payment stablecoins. SEC Commissioner Hester Peirce invited investors and market participants to engage with the Crypto Task Force to discuss the Commission's next steps in light of the GENIUS Act.

The mainstream adoption of crypto assets, facilitated by the stablecoin market, is expected to play a crucial role in the ongoing bull rally. The stablecoin market serves as a major source of liquidity in the crypto space, and the clear regulatory framework provided by the GENIUS Act is anticipated to further enhance its stability and growth. The legislation is poised to significantly benefit the wider cryptocurrency market by fostering innovation and protecting consumers, thereby promoting the development and adoption of stablecoins both in the United States and globally.