History was written in Washington on Friday. Donald Trump put his signature under the first American law that regulates Stablecoins. Before the eye of cheering crypto CEOs, he stated: “You are no longer the outsiders.”
American recognition for USDT and USDC
The Genius Act received broad support in the US Congress. A large majority voted in favor, both in the House of Representatives and in the Senate. It is the first time that the United States adopted legislation that is specifically aimed at stablecoins. These are digital coins such as Tether (USDT) and Circle’s USDC, which are linked to the value of the dollar.
During the ceremony in the White House, the top of the crypto sector was in the front row. Brian Armstrong (Coinbase), Jeremy Allaire (Circle), Paolo Ardoino (Tether) and the Brothers Winklevoss (Gemini) were present. Trump recalled memories of the difficult years: “When Biden did not yet know what crypto was, you were already in court,” he joked.
New rules and new opportunities
Stablecoin companies receive a legal framework with the signing. That means, among other things, stricter requirements for reserve management, transparency and consumer safety. The sector reacts relieved. Analyst Rajeev Bamra van Moody’s calls it “a necessary basis”. But whether Stablecoins now fulfill their promise now depends on how companies deal with supervision and openness.
The law marks a change. Where Crypto was still associated with scandals such as FTX in 2022, it now receives support from the highest political level. Thanks in part to the millions of industry, Trump moved forward as the ‘crypto president’.
What does this mean for the future?
The focus is now shifting to broader legislation. The Digital Asset Market Clarity Act, which was already hired in the house on Thursday, is now with the Senate. Before September 30, this must confess color on wider rules for exchanges, tokens and crypto projects.
David Sacks, appointed by Trump as top advisor in the field of Crypto and AI, called the Genius Act “a turbo for American dominance”. According to him, it can lead to a global network of digital dollars, with enormous demand for US government bonds as a result.
In the coming months it will show whether this is the start of a Golden Age for Crypto in the US.
Source: https://newsbit.nl/trump-tekent-historische-cryptowet-stablecoins-krijgen-eindelijk-regels/
