Law Passed by US Congress Brings New Framework for Cryptocurrency
The US House of Representatives has approved the GENIUS Act, a stablecoin bill. It is now awaiting the President's signature.
đ This law legally defines stablecoins for the first time in the US.
đ Federal licensing and reserve requirements are being introduced.
Key provisions:
â Stablecoins must be backed by 100% cash or Treasury securities
â Cannot be issued without federal licensing
â Can be integrated into retirement systems like 401(k)s
â High transparency and regular reporting requirements will be mandated
This step could signal a new era for DeFi, payment systems, and institutional investments.
However, it also brings with it discussions about âcentralization.â