Trump Signs GENIUS Act: First Major Crypto Law
The cryptocurrency industry has reached a pivotal moment with the enactment of the first federal crypto legislation in the U.S. Former President Donald Trump signed the GENIUS Act into law, aiming to provide regulatory clarity for stablecoin issuers such as Tether, Circle, and Ripple.
Trump Signs GENIUS Act Into Law
Donald Trump formalized the GENIUS Act during a signing ceremony at the White House. This bill marks the first major regulation for the crypto industry, setting a precedent for future legislation.
The signing occurred shortly after the U.S. House passed the GENIUS Act, along with the CLARITY and Anti-CBDC Acts, with strong bipartisan support—308 representatives voted in favor. This move follows years of regulatory ambiguity, particularly under the Biden administration, which saw the U.S. Securities and Exchange Commission (SEC) taking a regulation-by-enforcement approach against crypto firms like Ripple and Coinbase.
The GENIUS Act seeks to provide regulatory clarity for stablecoin issuers, stipulating that they must maintain 100% reserves equal to the coins in circulation. Trump stated that this bill will position the U.S. ahead of China and Europe in cryptocurrency technology, ensuring global dominance in the sector.
Following this development, the crypto industry is now focused on the CLARITY and Anti-CBDC Acts, which must pass in the Senate before reaching the President’s desk.
Industry Reactions
Pro-crypto Senator Cynthia Lummis commented on the GENIUS Act's signing, calling it a watershed moment for digital assets. She emphasized that this law will secure America’s leadership in the digital economy and reinforce the dollar’s global dominance.
Coinbase CEO Brian Armstrong described the event as "surreal," noting that the new law marks the beginning of a new era for crypto, starting with stablecoins. Armstrong added that the next step is market structure, with a commitment to meeting the White House’s September 30 deadline.
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