GENIUS Act Establishes First U.S. Stablecoin Framework
The post GENIUS Act Establishes First U.S. Stablecoin Framework appeared on BitcoinEthereumNews.com. Darius Baruo Jul 09, 2026 20:38 The GENIUS Act marks a regulatory milestone for U.S. payment stablecoins, setting reserve, redemption, and licensing standards. The GENIUS Act, signed into law by President Donald Trump on July 18, 2025, has created the first comprehensive federal regulatory framework for payment stablecoins in the United States. Effective by January 2027 or sooner, the legislation tackles reserve requirements, licensing, and consumer protections, addressing a long-standing regulatory void in the crypto space. What the GENIUS Act Covers The law applies exclusively to “payment stablecoins”—digital assets pegged to fiat currencies, redeemable on demand, and intended for use as a means of payment. Notably, algorithmic stablecoins and asset-referenced tokens fall outside its scope. Issuers must adhere to stringent requirements, including: Reserves: One-to-on