Blockchain technology will elevate the next-generation payment industry, with the USD soon being digitized on-chain based on the new GENIUS Act of the United States.
The GENIUS Act, led by the administration and US lawmakers such as the Treasury Secretary and Senator Bill Hagerty, creates a clear legal framework for stablecoins. This promotes fast, safe, low-cost digital payments while reinforcing the US position on the global cryptocurrency map.
MAIN CONTENT
Blockchain is seen as the foundation of the next-generation payment system with the digitized USD on-chain.
The GENIUS Act helps establish a legal framework for stablecoins, promoting more efficient digital payments.
The new law increases the attractiveness and global acceptance of USD-based digital payments.
What is the GENIUS Act and what role does it play in the digital payment ecosystem?
The GENIUS Act is a law passed by the US Congress to create a legal framework for stablecoins and digital payments. US Treasury Secretary Janet Yellen asserts that this law will help reinforce the USD's position as a global reserve currency in the digital age.
The GENIUS Act not only aims to create a transparent legal framework for stablecoins to minimize legal risks but also helps make digital payments faster, cheaper, and safer. Senator Bill Hagerty emphasizes that this is a profound step to maintain the leading position of the United States in the global cryptocurrency market.
Why is Blockchain technology considered the 'engine' of the next-generation payments?
Assessments from top financial experts prove that Blockchain is the key technology for transaction transparency and security. US Treasury Secretary Bessant confirms on platform X that Blockchain will be the critical infrastructure addressing speed, cost, and security issues for digital payments in the future.
"Blockchain not only revolutionizes the payment system but also lays the foundation for the USD to enter the blockchain, creating a new era of digital finance."
Janet Yellen, US Treasury Secretary, July 2024
How does the GENIUS Act impact the development of stablecoins and digital payments globally?
US Deputy Treasury Secretary Michael Faulkender states that the GENIUS Act will help the United States have faster, lower-cost, and safer digital transaction methods. This law facilitates broader international acceptance of USD-based stablecoins.
"With the GENIUS Act, we not only protect users but also strengthen the United States as the global cryptocurrency hub."
Michael Faulkender, US Deputy Treasury Secretary, July 2024
Data from the US Treasury shows that digital payments grew by 30% in 2023 and are expected to surge further thanks to the stability from the new legal framework for stablecoins.
Why is enhancing the legal framework for stablecoins important for the cryptocurrency position of the United States?
A clear legal framework helps minimize risks of moral hazard and fraud in the stablecoin sector, protecting investors and users. According to financial expert Alice Morgan, the GENIUS Act creates a stable environment that promotes long-term investment and DeFi innovation in the United States.
This helps the United States compete effectively with other countries that are pushing forward the development of cryptocurrency and digital finance through more open policies.
What are the main benefits that the GENIUS Act brings to the US digital economy?
The GENIUS Act enhances global payment capabilities with USD digital currency, reduces transaction costs, and accelerates payment speeds. The law also encourages innovation in Blockchain and DeFi, thereby creating more jobs and attracting foreign investment.
Benefits Description Actual Impact Accelerated Payments Faster and more reliable digital payments thanks to Blockchain Time-saving transactions, reducing delays from several days to just seconds Reduced transaction costs Lower fees compared to traditional payments Saving billions of USD per year for businesses and individuals Strengthened USD position The digital USD appearing on Blockchain maintains its role as a global reserve Increased global demand for digital payment services based on USD
Frequently Asked Questions
What is the GENIUS Act and when was it passed?
The GENIUS Act is a US law that creates a legal framework for stablecoins and digital payments, officially enacted in July 2024.
How does Blockchain technology help digital payments?
Blockchain provides a secure, transparent platform, processing transactions quickly and effectively reducing transaction fees.
How does the GENIUS Act affect the position of the USD?
The law helps the USD become the global digital reserve currency, reinforcing its inherent role in global finance.
Who is driving the GENIUS Act in the United States?
Treasury Secretary Janet Yellen, Senator Bill Hagerty, and Deputy Secretary Michael Faulkender play crucial roles.
Will the passage of the law help the United States maintain its leading position in cryptocurrency?
The GENIUS Act creates a transparent legal environment, reinforcing the United States' position as the world's leading cryptocurrency hub.
Source: https://tintucbitcoin.com/usd-hoa-ky-len-blockchain-genius-act/
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