Trump Signs Landmark GENIUS Act for Stablecoins

U.S. President Donald Trump has signed a landmark bill creating a federal regulatory framework for stablecoins, officially known as the Guiding and Establishing National Innovation for U.S. Stablecoins, or GENIUS. At the signing ceremony, Trump humorously noted that the bill was named after him. Trump described the event as a significant leap forward in reinforcing America's dominance in global finance and crypto technology. He stated, "This afternoon, we take a giant step to cement American dominance of global finance and crypto technology as we sign the landmark GENIUS Act into law," and emphasized the bill as a "massive validation" of the crypto industry. The GENIUS Act mandates that stablecoins be fully backed by U.S. dollars or liquid assets, requires annual audits for issuers with a market cap over $50 billion, and sets guidelines for foreign issuance. The bill passed the House of Representatives with a vote of 308-122 after earlier approval in the Senate, making its way quickly to Trump's desk despite some Republican dissent in procedural votes. Notable crypto executives, including Tether's Paolo Ardoino and Coinbase's Brian Armstrong, were present at the signing. The excitement leading up to the event was palpable, with key industry figures expressing their enthusiasm for this transformative legislation. Jeremy Allaire, CEO of Circle, indicated the significance of the signing in a post on X, calling it one of the most transformative pieces of legislation in decades. Likewise, Anchorage Digital's CEO highlighted the bipartisan nature of the achievement and the years of effort that led to it. However, the bill was not without controversy. Some Democrats raised concerns regarding potential conflicts of interest involving Trump family-run World Liberty Financial USD and its implications for national security, particularly related to foreign issuers. Earlier this year, Trump also eliminated a contentious crypto tax rule established during the Biden administration, further solidifying his administration's stance on the crypto industry. This marks a pivotal moment in U.S. regulation of digital assets and signals a commitment to shaping the future of stablecoins.