Marking a historic moment for the cryptocurrency industry, US President Donald Trump signed the Genius Act (guiding and establishing American national innovation) this afternoon at a ceremony at the White House.
therefore, Genius is no longer a legislative project, it becomes law. The event, in which Trump was qualified as a “great company,” comes after the House House yesterday approved the initiative with a mandatory 308 votes and approved the initiative against 122 votes.
«This is a truly wonderful day. This afternoon we took a huge step towards integrating the US domain of global finance and cryptocurrency technology while signing this historic genius law,” Trump said in a speech at the event.
Genius Law has established stablecoins rules that maintain the same price as the US dollar (USD), requiring that it be supported by current assets, including cash and short-term treasure liabilities.
Additionally, emitters will force the release of details about the composition of the reserves to be regularly published and implement measures against money laundering and other risks associated with the use of these cryptocurrencies. So, Strengthen the dollar’s domain and try to boost the safety and use of these assets.
“The golden age of America is above us, and today
President of the United States, Donald Trump.
The project had winds in Congress that tried to prevent progress, but achieved the Senate approval last month and the bipartisan efforts yesterday that the Camera culminated in the Presidential Company today.
The president made his point that “genius law is extremely important,” and thanked his creator, Sen. Bill Hagerty. “A lot of people thought it was impossible,” he said he explained their efforts in the week to persuade opposition lawmakers to vote in favor.
The ceremony is scheduled for 2:30pm local time. Recognized industry figures participated, including Tether and Circle Executive Director.two stubcoin issuers have a larger market capitalization.
«I am incredibly honored to be invited to see President Donald Trump sign the Genius Act today. Tether already offers over USD 160 billion to more than 500 million users worldwide. Now that President Trump is adopting digital assets in the US, we believe we can multiply it by 10 and integrate the global domain of the dollar »
Tether CEO Paolo Aldoino.
The Stablecoins market is currently capitalised to over USD 260 million, and is dominated by two assets that are primarily fixed at the value of the dollar: Tether (USDT) Tether (USDT) and Circle USD Coin (USDC).
Among the various guests in the ecosystem was Brian Armstrong, CEO of Coinbase Cryptocurrency Exchange.
Cryptocurrency Week achieves Trump’s objectives
The milestone was part of “Cryptocurrency Week,” promoted by Trump-led Republican lawmakers, who promised during his campaign to turn the US into the “capital” of Bitcoin and the crypto ecosystem.
parallel, Yesterday, two projects in the cryptocurrency sector also received approval from cryptocurrency: Clarity, which anticipates a Senate assessment, and anti-CBDCs intended to be included in the National Defense Authorization Bill (NDAA).
Clarity Project makes it clear which digital assets are merchandise y securitiesdistinguishing between the regulatory oversight between the SEC and the CFTC. Meanwhile, the anti-CBDC initiative is preventing the issuance of digital currency from central banks (CBDCs), as reported by Cryptootics.
«In my first week of office, I signed an executive order to ban the creation of CBDCs in the United States. And soon, I want to sign a law that encodes and prohibits creation forever. I also commit to signing a historic law this year on the structure of cryptocurrency markets this year to drive industry growth,” Trump said in his speech.
The president also focused on stating that his steps in the sector were still in the early stages.:«We’re going to grow even more than people didn’t think. It’s a booming industry».
He also revealed two nights ago, along with his team, was interested in the fear that the cryptocurrency bill was putting the brakes on the front of the challenge campaign. However, he celebrated this delay and got the approval of most of the camera.
The progress represents a significant shift in relation to former government democratic position Joe Biden, who advocated strict regulations limiting the sector, a partisan gap Trump used to highlight his speech.
«We made a lot of progress from the Biden administration when we didn’t know what you were talking about. And half of you were arrested for no reason,” he told the actor in the cryptocurrency ecosystem.
What is behind the genius law?
The main purpose of the Genius Act is to protect Stablecoins users from deceptive practices and mitigate the risks associated with money laundering and terrorist financing. Save dollar hegemony In digital transactions against the rise in cryptocurrency adoption.
Similarly, it’s a way to maintain the value of the dollar as emitters such as USDT and USDC have become the major US Treasury bond users.
Thus, it also represents a step in the fight against the development of cryptographic works pinned in foreign Fiat currencies, such as the European Union and the central bank digital currency that Trump plans to launch from China.
The Act also aims to encourage competition between banks and fintech companies and enable the issuance and/or delivery of stubcoins under a clear regulatory framework. In fact, we have shown from various companies such as Uber that they are studying to incorporate them for payment for their business.
The genius law has been praised by ecosystem officials, He is not exempt from criticism Sector voices who see it with concern about skepticism and the financial management that it means. It is feared that it could be subject to supervision or confiscation, such as the CBDC.
In short, its entry into force will test the results of this Act. The law is expected to have an impact on the global level not only on the adoption of cryptocurrencies, but also on the definition of international regulations.