On July 22, 2025, the White House released the first major crypto policy report, noting important changes in stablecoin regulation.
Transfer of Stablecoin Regulation to the Federal Reserve
The crypto policy report results from Executive Order 14178. The main goal of the document is to protect U.S. economic sovereignty and provide clarity in digital asset regulation. According to the report, oversight of stablecoins will be transferred from the SEC/CFTC to traditional banking entities such as the Federal Reserve.
Expected Changes in the Stablecoin Market
The regulation of stablecoins like USDC, USDT, and DAI will undergo significant changes, impacting their market dynamics and liquidity. Broader implications for the digital asset market are anticipated, including the development of legitimate dollar-backed stablecoins and effects on DeFi protocols.
Biden's Administration Initiatives on Cryptocurrency Regulation
Previous initiatives, such as Biden's Executive Order 14067 reviewing cryptocurrencies, have laid the groundwork for this report. This effort represents the first comprehensive framework tied to a stablecoin law. Experts suggest that clarity in regulation may positively affect stablecoin adoption, enhancing market stability. As President Joe Biden stated, 'The digital asset industry plays a crucial role in innovation and economic development in the United States.'
The changes in stablecoin regulation presented in the report may significantly impact the digital asset market and promote sector stability.
