#GENIUSAct š§© What is the GENIUS Act?
The Guiding and Establishing National Innovation for U.S. Stablecoins Act (GENIUS Act) is a federal law in the U.S. signed on July 18, 2025, by President Trump. It is the first comprehensive legal framework to regulate stablecoins ā cryptocurrencies linked to the dollar ā in the country.
It represents the first comprehensive legal framework aimed exclusively at the regulation of stablecoins ā cryptocurrencies pegged to the U.S. dollar (USD).
šļø Main objectives of the GENIUS Act:
⢠Establish clear rules for stablecoin issuers in the U.S.;
⢠Protect consumers and ensure transparency and auditing of the reserves backing the tokens;
⢠Create a favorable environment for innovation, but with legal security for companies and users;
⢠Define the role of regulatory bodies, such as the Federal Reserve and the Department of the Treasury, in monitoring stablecoins.
š” Why is this law important?
⢠It drives the adoption of regulated stablecoins in the U.S.;
⢠It brings institutional confidence to the cryptocurrency sector;
⢠It may influence similar legislation in other countries;
⢠It marks a pro-innovation stance of the U.S. government under Trump's leadership in 2025.
š Key points:
⢠š Establishes clear rules for stablecoin issuers;
⢠š Requires transparency and auditing of the reserves backing the tokens;
⢠š”ļø Protects consumers and prevents fraud;
⢠š¦ Defines the role of bodies such as the Federal Reserve and the Treasury in supervision;
⢠š Stimulates innovation and safe adoption of stablecoins in the U.S.
š Impact:
The GENIUS Act brings legal security to the sector, boosts institutional adoption of stablecoins, and may influence other nations to adopt similar frameworks.
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