The U.S. Treasury has announced the enactment of a new law aimed at integrating the dollar with blockchain technology. The legislation, known as the "Guiding and Establishing National Innovation for U.S. Stablecoins" (GENIUS) Act, was signed by President Donald Trump.
Details of the Regulation
The new law introduces strict supervision and procedures for banks and authorized issuers launching payment-based stable cryptocurrencies. It aims to ensure secure and transparent management of these assets, granting authority to issue dollar-backed digital assets exclusively to licensed entities meeting specified criteria.
Future Implications and Statements
President Donald Trump remarked that the passage of the law marks a significant advancement in U.S. financial technology. He emphasized that the new legislation provides a clear regulatory environment for dollar-backed stable digital assets, potentially representing the biggest revolution in financial technology since the advent of the Internet.
> Donald Trump: “The GENIUS Act provides an open, straightforward regulatory framework to unleash the tremendous potential of dollar-backed stable digital assets. This could be the biggest revolution in financial technology since the Internet’s arrival.”
Prospects for Digital Assets
The scope of the new law suggests the possibility of widespread use of blockchain-based digital dollars, signaling a new era of digitization for the U.S. financial system. Experts assess that this legislation will establish important safety and transparency standards in the digital asset market, enabling controlled utilization of digital assets by investors and institutions. It is expected that U.S. institutions and technology companies will quickly adapt to digital dollar applications. However, the precise pathway for implementation and the effectiveness of set standards will be closely observed by all stakeholders.
The U.S. new regulatory initiative introduces blockchain-integrated dollars, emphasizing security, transparency, and regulatory standards. This may reshape the future of financial technology and spur discussions on similar regulations globally.
