President Trump Signs GENIUS Act, Regulating U.S. Stablecoins

Key Points:

  • Trump signs the GENIUS Act, creating a federal regulation for stablecoins.
  • The act mandates 100% reserve backing for stablecoins.
  • Industry leaders and financial executives express optimism and support.

Immediate implications include mandatory reserve backing for stablecoin issuers with monthly public disclosures of liquid assets. Banks and credit unions are now able to issue dollar-backed stablecoins, likely elevating the U.S. stablecoin market’s standing above $250 billion.

Tether USDt (USDT) holds a price of $1.00, reflecting a slight decrease of 0.01% over 24 hours. With a market cap of $160.92 billion, it dominates 4.18% of the market. The 24-hour trading volume has reached $170.40 billion, demonstrating a 17.31% change. Data cited from CoinMarketCap as of July 19, 2025.

GENIUS Act Mandates 100% Reserve and Transforms Industry

The White House ceremony commemorated the signing of the GENIUS Act, positioning President Trump at the forefront of transforming stablecoin regulation. By creating a clear framework, this legislation potentially launches the next financial technology revolution, some argue, akin to the Internet’s impact. President Donald Trump noted, “This could be perhaps the greatest revolution in financial technology since the birth of the Internet itself.”

Immediate implications include mandatory reserve backing for stablecoin issuers with monthly public disclosures of liquid assets. Banks and credit unions are now able to issue dollar-backed stablecoins, likely elevating the U.S. stablecoin market’s standing above $250 billion.

Industry leaders such as Robinhood’s executives and representatives from Tether, attended the signing and conveyed support. The broader crypto and financial sectors expect business expansions rooted in stablecoin growth.

Industry Excitement Mirrors EU Stablecoin Success Model

Did you know? The GENIUS Act’s regulatory approach mirrors EU markets’ harmonized rules, likely producing similar outcomes such as increased institutional adoption and stablecoin activity.

Tether USDt (USDT) holds a price of $1.00, reflecting a slight decrease of 0.01% over 24 hours. With a market cap of $160.92 billion, it dominates 4.18% of the market. The 24-hour trading volume has reached $170.40 billion, demonstrating a 17.31% change. Data cited from CoinMarketCap as of July 19, 2025.

tether-usdt-daily-chart-190

Tether USDt(USDT), daily chart, screenshot on CoinMarketCap at 00:12 UTC on July 19, 2025. Source: CoinMarketCap

Coincu analysis suggests the GENIUS Act may lead to increased financial stability and the adoption of stablecoin technologies. Historical trends from jurisdictions with similar legislative shifts predict newfound investment growth, regulatory cooperation, and an evolving decentralized finance landscape.

Source: https://coincu.com/349489-genius-act-stablecoin-regulation-3/