#GENIUSActPass

Serious Step by the US in Regulating Stablecoins

Amid the rapid development of digital assets, the United States has finally taken a further step by enacting the GENIUS Act (Guiding and Establishing National Innovation for U.S. Stablecoins Act) in June 2025. This law marks the first effort by the federal government to provide a clear and comprehensive legal framework for stablecoins, which are cryptocurrencies pegged to the US dollar or other stable assets.

The essence of the GENIUS Act is to ensure the stability of the digital financial system and consumer protection, without hindering innovation. The law requires stablecoin issuers to maintain a 1:1 reserve, conduct regular audits, and comply with anti-money laundering regulations. Additionally, the law guarantees that in the event of bankruptcy, stablecoin holders retain priority rights to reserve assets.

Interestingly, the GENIUS Act also provides an option for issuers to choose oversight at the federal or state level, creating space for smaller issuers to continue growing within a lighter legal framework. However, this policy has also faced criticism from some parties who argue that its regulations are too lenient and create potential conflicts of interest, especially if there are stablecoins affiliated with political figures or large companies.

Regardless of the pros and cons, the GENIUS Act marks an important shift in US digital economic policy. This law demonstrates that the government is no longer passive towards cryptocurrencies, but is starting to steer the development of this financial technology in a safer, more transparent, and trustworthy direction. In the long run, regulations like the GENIUS Act could serve as a model for other countries, while also strengthening the position of the US dollar in the era of global digital currencies.