In July 2025, the GENIUS Act was enacted, significantly changing the regulatory landscape for stablecoins in the US. Signed by President Donald Trump, the law promises substantial shifts in the financial sector.
Impact of GENIUS Act on Stablecoin Market
The GENIUS Act, passed on July 17, 2025, implements new requirements for stablecoin issuers that will significantly affect the market. Only approved issuers will be allowed to operate in the US, which may concentrate capital among regulated entities. Compliance deadlines are set to expire in November 2026.
Economic Consequences and Technological Forecasts
Previous regulatory actions have significantly influenced the stablecoin market, causing shifts in total value locked and exchange activities. The GENIUS Act is also expected to alter market dynamics with tighter liquidity and increased regulatory demands on issuers like USDC and USDT.
Regulatory Requirements for Stablecoin Issuers
The GENIUS Act defines approved stablecoin issuers and limits their number and requirements. Tokenized deposits are excluded, allowing banks to issue digital assets without additional regulatory burdens.
The GENIUS Act represents a significant step in regulating stablecoins in the US, creating new requirements for issuers and potentially changing the financial ecosystem of the country.
