18.07.2025 03:04
President Donald Trump is scheduled to sign the GENIUS Act into law on July 18th, 2025, a move that will fundamentally reshape the American cryptocurrency landscape. This landmark legislation establishes a comprehensive federal regulatory framework for stablecoins, a significant step towards greater oversight of this rapidly growing sector. The act’s provisions aim to foster innovation while mitigating risks associated with these digital assets.
A key component of the GENIUS Act is its potential prohibition of high-yield stablecoins, a measure intended to protect consumers from potentially unsustainable returns and mitigate systemic risk. The White House press secretary, Karoline Leavitt, emphasized President Trump's commitment to positioning the U.S. as a global leader in the cryptocurrency arena. This signing ceremony, scheduled for 2:30 PM ET, underscores the administration's proactive approach to digital asset regulation.
Bipartisan support for the GENIUS Act, as evidenced by its passage through the House, demonstrates a broad consensus on the need for a national regulatory approach. The act not only mandates registration with the Federal Reserve for stablecoin issuers but also allows eligible state-chartered entities to participate, creating a more inclusive framework. Further, the legislation aims to improve retail accessibility by potentially offering tax exemptions on smaller transactions. Leavitt asserted that this law will solidify America's position as the world's leading hub for cryptocurrency innovation, fulfilling a key presidential promise.
Positive market reaction, notably a 2.6% surge in Ethereum's price during afternoon trading, suggests optimism surrounding the Act's implications. However, the White House has explicitly stated that the GENIUS Act does not include provisions for a central bank digital currency (CBDC), clarifying the administration's current approach to digital currencies. This leaves the door open for future legislative actions regarding CBDCs. The introduction of the GENIUS Act represents a pivotal moment, marking the first instance of comprehensive national-level regulation for stablecoins in the United States, a departure from previous, less defined regulatory attempts. This landmark legislation signals a decisive shift in the U.S. approach to cryptocurrency.
