#StablecoinLaw

Stablecoin law, such as the recently passed GENIUS Act in the US, aims to regulate digital assets whose value is pegged to stable assets like the US dollar. This legislation requires stablecoin issuers to hold 100% reserves in high-quality liquid assets (e.g., US dollars or short-term debt securities), as well as to provide monthly public disclosures about the composition of these reserves.

The goal is to enhance consumer protection, ensure financial stability, and prevent illegal activities such as money laundering. With a clear legal framework, stablecoins are expected to further integrate into the traditional financial system and encourage responsible innovation.