š **1. Background: GENIUS Act Passed**
So, on July 18, 2025āa day that will likely be rememberedāUS President Donald Trump signed the GENIUS Act. This wasn't just any law; it was the first step in regulating stablecoins in the United States.
Imagine this law requiring stablecoin issuers to maintain full reservesāyes, that means cash and US bondsāand monthly audits that made transparency a priority. The goal? Turning stablecoins into legal tender and widely acceptedāproviding legal certainty for banks and financial institutions to enter this space.
---
š **2. Price Impact on the Crypto Market**
Wow, Bitcoin (BTC) shot up like a rocket, surpassing $120,000 intradayāhitting a peak of $120,999 before finally subsiding. There are predictions that it could reach $125,000 by the end of July, perhaps even $170,000 by the end of the year.
Ethereum (ETH) also showed no signs of being left behind, posting an intraday gain of +7.6%, reaching $3,675, before stabilizing in the $3,600ā$3,700 range. Total crypto market cap? Surpassing $4 trillionāthanks to the rally of altcoins like XRP (~$3.6), SOL, and ADA.
---
šļø **3. Regulatory & Institutional Implications**
The GENIUS Act opens the door for fintechs, banks, and credit unions to issue certified stablecoins. Just imagine integrations with giants like Google, Uber, Apple, and Shopifyāall of this could become a reality.
However, there are also concerns. The ban on interest-bearing stablecoins has actually increased investor and institutional interest in Ethereum-based DeFi. Fund flows into Ethereum and Bitcoin ETFs have increased, reflecting growing institutional adoption; companies like BitMine, Circle, and Coinbase have seen significant stock surges.
---
ā ļø **4. Highlights & Criticism**
However, not everyone agrees. Criticism has emergedāparticularly regarding potential conflicts of interest for Trump and his family, especially following the GENIUS Act's support for a $1 stablecoin linked to the Trump family.
There are also voices highlighting the need for consumer protectionsāfull dollar reserves, redemption barriers, and FDIC insurance. And let's not forget, further regulations are still pending, such as legislation regarding crypto market structure (CLARITY Act) and anti-CBDC legislation.
---
Looking ahead, there's a high probability ETH could soar to $4,000 by the end of July (~12%) and even to $5,000 by the end of 2025 (~27%).
Bitcoin? Projected to rise to $125,000 by the end of the month (~18%), and possibly to $170,000 by the end of the year (~12%). Regulation of stablecoins is predicted to increase public trust, expand adoption, and enhance the digital dollar's dominance in the global crypto ecosystem.
---
So, get ready to see how this all turns out... or maybe, we can just wait and see!
