Trump’s GENIUS Act Fuels U.S. Crypto Leadership

CCTV aired a report on Trump’s crypto policies and stablecoin initiatives, highlighting the GENIUS Act’s introduction, on July 27, 2025, emphasizing risks and market implications.

The GENIUS Act signifies a pivotal move in digital currency regulation, potentially transforming global financial landscapes and impacting U.S. economic policy amid increased stablecoin development worldwide.

GENIUS Act Spurs Stablecoin Regulations and Market Shifts

The GENIUS Act represents a comprehensive federal law establishing a regulatory framework for stablecoins, aimed at increasing the United States’ leadership in digital assets. President Trump, emphasizing innovation, stated, “This could be, perhaps, the greatest revolution in financial technology since the birth of the Internet itself.”

Immediate implications include expected impacts on financial systems with increased demands for U.S. Treasuries. The GENIUS Act mandates all stablecoins to be backed by dollars or Treasuries, compelling fintech and traditional enterprises, like PayPal and JP Morgan, to enter the market.

Market reactions have been mixed. While Trump and industry leaders express enthusiasm, critics highlight potential bias towards the USD1 stablecoin, backed by Trump’s affiliates. The crypto community remains cautious, focusing on the law’s implementation and its impact on crypto ecosystems.

Implications for Global Financial Markets and Investment

Did you know? The GENIUS Act marks the first comprehensive U.S. federal law on stablecoins, akin to the EU’s MiCA, emphasizing regulatory clarity over digital assets.

Bitcoin (BTC), valued at $119,288.05, holds a 60.06% market dominance with a market cap of $2.37 trillion. Its 24-hour trading volume reached $56.30 billion. BTC’s 30-day price rose by 11.17%. Data from CoinMarketCap as of July 28, 2025.

Insights from the Coincu research team suggest that the act might lead to increased foreign investment, propelling financial innovation while ensuring regulatory oversight. Observers anticipate heightened digital asset adoption as the act impacts global financial markets.