XRP News Today: GENIUS Act Unlocks Trillions for Stablecoins on XRP Ledger

An XRPL validator, Vet, recently expressed optimism about the potential impact of the newly signed GENIUS Act on RLUSD and the XRP Ledger. Vet highlighted remarks made by White House A.I. & Crypto Czar David Sacks, who suggested that regulatory certainty for stablecoins could unlock trillions of dollars in demand for U.S. Treasuries. As RLUSD is a U.S. dollar-backed stablecoin issued directly on the XRP Ledger, it is poised to benefit from increased institutional confidence and compliance with the new legal framework. The stablecoin market is currently valued at approximately $250 billion, indicating significant room for growth as regulated issuers enter the space.

Vet noted, “With the signing of the GENIUS Act, we should see good growth for $RLUSD on the XRP Ledger. Trillions in potential demand for treasuries by stablecoin issuers, as per David Sacks, would also mean trillions in market cap. Currently 1/4 Trillion stablecoin market cap.”

The GENIUS Act, officially known as the Guiding and Establishing National Innovation for U.S. Stablecoins Act, was passed by the U.S. House of Representatives on July 17, 2025, with overwhelming bipartisan support in a 308–122 vote. The Senate had already approved the bill in June, and President Donald Trump signed it into law on July 18. The GENIUS Act is considered the most consequential piece of financial regulation since the Dodd-Frank Act of 2010. The law establishes a comprehensive, national regulatory framework specifically for U.S. dollar-backed stablecoins. Only federally licensed or state-supervised entities, including banks, credit unions, and approved fintech firms, will be permitted to issue such stablecoins. Issuers are required to maintain full one-to-one dollar reserves, submit to monthly audits by third parties, and operate under ongoing regulatory oversight. Algorithmic stablecoins and non-dollar-pegged stablecoins are explicitly excluded from this regulated category.

While the GENIUS Act is now law, its provisions will not take full effect immediately. Regulators have up to 180 days to draft and publish implementing rules, and full enforcement of the law is expected by the end of 2026. This means that although the signing of the Act provides a strong signal to the market, the exact timeline for when RLUSD and similar stablecoins can fully operate under the new framework remains dependent on forthcoming regulatory guidance. The Act also includes notable consumer protections. Stablecoin holders are given priority claims on reserves in the event of an issuer’s insolvency, and issuers are prohibited from paying interest on their coins. However, third-party platforms may still offer such features independently. These protections are designed to increase trust in regulated stablecoins, which could encourage broader adoption by institutions and retail users.

Vet’s remarks underscore the opportunities created by the GENIUS Act for RLUSD and the XRP Ledger. While implementation details and timing remain to be clarified, the law sets the stage for expanded regulated use of stablecoins and positions the XRP Ledger as a potential beneficiary of this regulatory clarity. The GENIUS Act aims to provide a clear and stable regulatory environment for stablecoins, which could lead to increased adoption and trust in these digital assets. This, in turn, could benefit the XRP Ledger and RLUSD, as they are well-positioned to comply with the new regulations and offer a secure and efficient platform for stablecoin transactions.