$XRP

Here’s an updated article on the GENIUS Act, the new U.S. stablecoin law:

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📘 What Is the GENIUS Act?

The "Guiding and Establishing National Innovation for U.S. Stablecoins Act"—nicknamed the GENIUS Act—is the first federal law that formally regulates dollar-backed stablecoins in the United States .

Key milestones:

Senate approval: June 17, 2025 (vote: 68–30)

House passage: July 17, 2025 (vote: 308–122)

Signed by President Trump: July 18, 2025

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🧩 What the Law Requires

1. Strict 1:1 Reserve Backing

Issuers must fully back stablecoins with liquid assets like U.S. dollars or short-term Treasury bills, verified monthly .

2. Authorized Issuers Only

Only U.S.-regulated banks, charters, or approved nonbanks can issue stablecoins in the U.S. Foreign issuers must meet comparable standards .

3. Consumer Protections

Monthly public disclosures of reserves

Clear marketing (no misleading claims about FDIC backing or government support)

In case of issuer insolvency, users’ assets get payout priority .

4. AML & Sanctions Oversight

Stablecoin programs must comply with Bank Secrecy Act rules, sanctions, and anti-money laundering enforcement .

5. State–Federal Coordination

Allows state-chartered issuers if their regulations align with federal standards. Preempts restrictive state laws for qualified entities .

6. Regulatory Timeline

Regulators must finalize rules within 12 months. The law becomes effective ~18 months after enactment or 120 days post-final rules .

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🌐 Why It Matters

Legitimizes Stablecoins: Houses a growing $250 billion market under transparent and safe rules .

Enables Innovation: Opens doors for banks, fintechs, and large companies (e.g., Amazon, Walmart) to issue stablecoins, potentially reducing payment fees and expanding digital commerce .

Increased Adoption: Clear rules make it easier for consumers, retailers, and institutions to use and accept stablecoins .