President Donald Trump on Friday signed into law the GENIUS Act — a sweeping legislative milestone that sets a clear federal regulatory framework for stablecoins and reaffirms his administration’s full-throated embrace of the cryptocurrency industry.
Officially titled the Guiding and Establishing National Innovation for U.S. Stablecoins Act, the bill aims to provide certainty for developers, investors, and businesses navigating the digital asset space.
“I pledged that we would bring back American liberty and leadership and make the United States the crypto capital of the world,” Trump said at the White House ceremony. “And that’s what we’ve done. And under the Trump administration, this is only going further.”
GENIUS Act Passes with Bipartisan Backing
The House passed the GENIUS Act on Thursday in a 308–122 vote, following a Senate approval in June by a 68–30 margin.
The legislation garnered support from both sides of the aisle, though not without controversy. Twelve House Republicans voted against the bill, citing concerns over ethics and potential conflicts of interest.
Despite this opposition, the bill’s supporters praised it as a long-overdue measure that will foster innovation and bring the U.S. into alignment with digital financial advancements.
“For far too long, America’s digital assets industry has been stifled by ambiguous rules, confusing enforcement, and the Biden administration’s anti-crypto crusade,” said House Majority Whip Tom Emmer, R-Minn.
“But President Trump and this Congress are correcting course and unleashing America’s digital asset potential with historic, transformative legislation.”
Regulatory Clarity for Stablecoins
Stablecoins — cryptocurrencies tied to assets like the U.S. dollar or gold — are designed to provide price stability in the volatile crypto market.
The GENIUS Act introduces a regulatory framework tailored to these assets, including specific compliance standards for high-capital issuers.
According to the Senate Banking Committee, the legislation mandates:
- Monthly public disclosure of reserve composition
- Annual audited financial statements for issuers with more than $50 billion in market capitalization
Trump called the measure “perhaps the greatest revolution in financial technology since the birth of the internet itself,” framing it as both a policy victory and a philosophical one for financial freedom.
Democrats Raise Ethical Concerns
Although many Democrats voted in favor of the GENIUS Act, some raised red flags about the bill’s implications and Trump’s personal ties to cryptocurrency projects.
Rep. Maxine Waters, D-Calif., ranking member of the House Financial Services Committee, criticized the bill over potential conflicts of interest tied to Trump’s promotion of a digital token called $TRUMP.
“By passing this bill, Congress will be telling the world that Congress is OK with corruption, OK with foreign companies buying influence, and OK with criminals buying Trump coins to seek pardons and beneficial treatment,” Waters said on the House floor.
