US Congress Passes First Federal Stablecoin Regulation Bill

President Donald Trump signed landmark legislation regulating stablecoins, known as the GENIUS Act, marking a major policy victory for the crypto industry and delivering the first comprehensive federal framework for stablecoin oversight. This bipartisan-supported bill imposes federal or state regulation on dollar-pegged tokens, aiming to bring legitimacy and unlock faster, cheaper payment methods for a market expected to grow significantly by 2030. The regulatory shift under Trump’s administration, contrasting with previous regulatory resistance, has encouraged banks like PNC to partner with crypto firms such as Coinbase to offer crypto services directly to millions of customers. Despite the legislation boosting confidence in cryptocurrencies and contributing to a surge in market capitalization, some crypto stocks, including Coinbase and Circle, saw declines as investors took profits following a bull run. Additional laws like the Clarity Law and the Anti-CBDC surveillance law further clarify regulatory conditions and restrict Federal Reserve digital currency initiatives. Trump is also preparing an executive order to allow significant investment of retirement savings into alternative assets including cryptocurrencies, signaling growing institutional interest and potential widespread adoption.