U.S. Treasury Announces On-Chain Dollar via Stablecoin Legislation
- U.S. Treasury takes digital finance step with on-chain dollar.
- GENIUS Act aims for U.S. dollar dominance online.
- Stablecoin market set for multitrillion-dollar growth.
On July 19, 2025, Treasury Secretary Scott Bessent announced the GENIUS Act, bringing the U.S. dollar on-chain through regulatory legislation signed by President Donald Trump.
The GENIUS Act represents a major regulatory change, impacting financial markets and payment systems. It aims to enhance U.S. dollar stability in digital finance.
U.S. Treasury Launches GENIUS Act for Stablecoin Framework
The enactment of the GENIUS Act by the U.S. Treasury Secretary introduces a federal framework for stablecoins. This move positions the U.S. dollar for digital transformation. Treasury Secretary Scott Bessent emphasized the dollar’s transition to a secure, transparent payment system, with regulatory clarity supporting market growth. “Stablecoins represent a revolution in digital finance. The dollar now has an internet-native payment rail that is fast, secure, and transparent. With the GENIUS Act, we give the stablecoin market regulatory clarity to grow into a multitrillion-dollar industry.”
GENIUS Act Paves Way for Multitrillion-Dollar Stablecoin Market
The GENIUS Act could lead to a multitrillion-dollar stablecoin market, influencing fintech and banking industries. It ensures compliance with monetary regulations. This legislation strengthens the U.S.’s competitive edge in global payments, establishing guardrails to protect consumer interests as innovation progresses.
GENIUS Act vs. EU’s MiCA: A U.S. Regulatory Milestone
Similar to EU’s MiCA, the GENIUS Act sets a precedent for stablecoin regulation but at a federal U.S. level, promising increased issuance and institutional interest. Historical trends suggest regulatory clarity boosts stablecoin issuance and adoption, potentially increasing liquidity across blockchain platforms like ETH and SOL. Press Release – U.S. Department of the Treasury
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