The signing of the GENIUS Act on July 22, 2025, marks a significant step in the regulation of stablecoins, setting new requirements and rules concerning their use.
What is the GENIUS Act?
The GENIUS Act introduces strict requirements for stablecoins, mandating that they be backed by liquid assets such as US dollars and short-term treasury bills. Issuers are required to regularly disclose the composition of their reserves.
Impact on the Stablecoin Market
With the signing of the GENIUS Act, stablecoins are expected to become more attractive to banks, retailers, and consumers, enabling these instruments to be used for instant transfers of funds.
Expert Opinions on the Future of Stablecoins
Jack McDonald, CEO of Standard Custody and SVP of Stablecoins at Ripple, noted that following the adoption of the GENIUS Act, there has been increased interest among consumer companies, platforms, and tech firms in creating their own stablecoins. He emphasized that launching a stablecoin requires substantial effort and responsibility, not merely being a simple task like developing a new application. It is infrastructure, and mistakes can have serious consequences.
The GENIUS Act provides clear guidance for developers and companies seeking to integrate stable digital currencies into their ecosystem. It is evident that the future of stablecoins relies on their reliability and adherence to the new regulatory standards.
