President Trump gives a thumbs up for crypto with the historic GENIUS Act
The crypto legislation sets the rules for the $250 billion stablecoin market.
On Friday, U.S. President Donald Trump signed a historic bill to regulate cryptocurrency, calling it an "exciting new frontier" for technology, a day after the bill passed the House.
The bill, which is called the GENIUS Act, is the first important law to regulate digital currency. It sets rules for the $250 billion stablecoin market. Generally believed to be a safe type of cryptocurrency because its value is tied to other assets, like the dollar, stablecoins aim to provide a non-volatile utility, an alternative to the high volatility of the most popular cryptocurrencies, including Bitcoin (BTC) and Ethereum (ETH).
David Adubiina
The GENIUS Act, which stands for "Guiding and Establishing National Innovation for U.S. Stablecoins," will ensure that stablecoins are regulated to protect consumers. Now, banks, non-banks, and credit unions can go into the market and make their stablecoins.
It will also allow banks and other financial institutions to issue crypto assets that are backed "one-for-one" with real U.S. dollars and Treasury bills. As a result, it could strengthen the dollar and the whole U.S. financial system.
White House Crypto and AI Czar David Sacks praised the speed at which GENIUS became law, adding that it "will unlock American dominance in the crypto industry by creating clear rules of the road."
David Adubiina
