On July 18, 2025, President Donald Trump signed the GENIUS Act, establishing a framework for regulating stablecoins in the U.S. This law is expected to significantly influence the digital asset market.
Importance of the GENIUS Act
The GENIUS Act is a crucial step in advancing digital assets in the U.S., creating opportunities for financial expansion and strengthening the dollar's role in global finance. Notably, the law requires 100% reserve backing for stablecoins backed by liquid assets.
Impact on the Stablecoin Market
Forecasts suggest that even after the signing of the law, its impact on stablecoins like USDC and USDT is expected to be significant. Analysts note that with legal clarity, U.S. stablecoin projects may expand, with the market capitalization potentially reaching $2 trillion by 2028.
Future Prospects for Digital Assets
The passage of the GENIUS Act is anticipated to also influence other cryptocurrencies like ETH and BTC, given that their network technologies facilitate stablecoin transactions. The law supports innovation and enhances U.S. economic infrastructure, positioning the country closer to leadership in digital finance.
The GENIUS Act represents a significant advancement in stablecoin regulation and may reshape the digital asset landscape in the U.S., supporting investor confidence and facilitating further technological development.
