GENIUS Act: Trump signs into law the first major cryptocurrency legislation in US history

President Donald J. Trump on Friday signed the GENIUS Act, landmark legislation providing the first federal regulatory framework for stablecoins, a type of cryptocurrency pegged to assets such as the US dollar. The signing represents a key victory for the cryptocurrency industry, which for years operated in an environment of uncertainty and political pressure, especially during the previous administration.

The rule establishes who can issue stable coins, what kind of reserves they must hold, how to proceed in case of bankruptcy, and requires clear measures to prevent money laundering. The goal, according to its promoters, is to ensure consumer safety and position the United States as a global leader in financial innovation, without stifling entrepreneurial freedom.

Trump gives strong backing to the crypto sector

During the White House ceremony, Trump hosted prominent representatives of the technology and financial sector, including the CEOs of companies such as Coinbase and Tether. There he highlighted the role of the crypto community, which for years faced hostile regulations, and underlined his decision to support digital innovation from the outset.

The contrast with the Biden Administration was stark. While the previous White House maintained a restrictive stance toward the crypto ecosystem, Trump reaffirmed his commitment to economic freedom and American competitiveness.

"The entire crypto community, for years, you were mocked and dismissed and counted out. But this signing is a massive validation of your hard work and your pioneering spirit," Trump said.

Bipartisan passage with minority opposition.

The GENIUS Act was passed by Congress with bipartisan support, though not without objections. Republican Senator Josh Hawley expressed concern about the possible use of this legislation by large technology companies to expand their access to financial data. For her part, Democratic Senator Elizabeth Warren questioned protections for consumers and national security, and warned of potential conflicts of interest due to the involvement of Trump family members in a cryptocurrency company that launched its own stablecoin, USD1.

The White House has clarified that the president has no direct involvement in that company, as its assets are safeguarded in a trust managed by his children, complying with legal standards.