U.S. Enacts First Federal Stablecoin Regulation: GENIUS Act Takes Effect

The U.S. has taken a significant step forward in regulating stablecoins with the enactment of the GENIUS Act, signed into law by President Donald Trump in July 2025. This marks the first instance of federal regulation for stablecoin issuance and usage within the country’s banking and payment systems. The legislation seeks to enhance the efficiency of payment systems and boost demand for U.S. Treasury securities, likely impacting market flows and digital asset usage.