#StablecoinLaw

On July 18, 2025, the United States signed the GENIUS (Guiding and Establishing National Innovation for US Stablecoins) Act, which is the first federal legal framework for regulating stablecoins linked to the US dollar.

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📘 Key Provisions of the GENIUS Act

1. Full Reserve Coverage

Stablecoin issuers are required to secure reserves at a 1:1 ratio with the dollar or low-risk assets such as short-term treasury bonds.

2. Periodic Transparency

Stablecoin issuers publish a monthly report disclosing the composition of their reserves.

3. Licensed Issuance Framework

Only U.S. entities, or similar foreign entities, that are licensed are allowed to issue "payment stablecoins" within the United States.