Washington - On Friday, President Trump enacted a significant law aimed at overseeing cryptocurrency, celebrating the "thrilling new area" of this technology just one day following the bill's approval in the House.
The legislation, called the GENIUS Act is the initial significant legislation regulating digital currency, and sets up a supervisory structure for the $250 billion stablecoin industry. Stablecoins are considered a fairly secure form of cryptocurrency because their worth is tied to other assets, such as the US dollar. The legislation was approved by the House on Thursday with backing from 206 Republicans and 102 Democrats.
We put in a lot of effort. It's a highly significant bill, the GENIUS Act. They've named it after me," the president quipped in the East Room of the White House. "I appreciate your efforts. This is quite an achievement.
Attendees at the signing event included members of Congress along with senior officials from Robinhood, Tether, Gemini, and several other cryptocurrency and finance companies.
The future of the GENIUS Act faced uncertainty earlier this week as a group of twelve conservatives blocked a procedural vote. Eventually, an agreement was made, and those who had initially opposed moved forward with the legislation. On Friday, the president mentioned that he personally called each of the holdouts to convince them, following a report from House Speaker Mike Johnson indicating there were twelve Republican lawmakers against the bill.
Good news is, I make a call, 'Hey, Jim, how are you?' 'Sir, I'm voting for you.' Bang. 'Sir, I'm voting for you.' They truly just want some affection," he stated. "Regrettably, it's always the same 12 individuals.
David Sacks, a venture capital investor who later became Mr. Trump's overseer of artificial intelligence and cryptocurrency matters, stated that the president "intervened and rescued this bill." Mr. Trump also mentioned that Vice President JD Vance was calling late at night, assisting in advancing the legislation.
What is the Genius Act?
The Genius Act (an acronym for Guiding and Establishing National Innovation for U.S. Stablecoins) sets guidelines and safeguards to protect consumers regarding stablecoins. The legislation also introduces a specific classification for stablecoins and defines precise criteria for which digital assets can be labeled as such.
Following the enactment of the GENIUS Act, financial institutions such as banks, nonbank entities, and credit unions now have the opportunity to enter the marketplace by launching their own stablecoins.
In addition to being more stable compared to other digital currencies, stablecoins enable quicker and cheaper financial transactions, according to advocates of the technology. Prior to the Senate voting on the Genius Act in June, Senator Bill Hagerty from Tennessee, who introduced the legislation, said Stablecoins may enable businesses and individuals to complete transactions "almost instantly," instead of requiring several weeks.
As I pledged last year, the GENIUS Act establishes a straightforward and transparent regulatory system to unlock the significant potential of dollar-pegged stablecoins," Mr. Trump stated. "This might be, possibly, the most impactful advancement in financial technology since the emergence of the Internet. Many individuals believe this.
The president stated that the GENIUS Act gives banks and other financial organizations a structure for issuing cryptocurrency assets that are "matched one-to-one" with actual U.S. dollars and government bonds, "enhancing the value of the dollar" and enabling the whole American financial system to qualify for a "modern update."
Legislators also passed two additional cryptocurrency-related bills, concluding what Republicans referred to as "Crypto Week" in Congress. The Clarity The bill will oversee digital assets outside of stablecoins, and the Anti-CBDC The Surveillance State Act prohibits the Federal Reserve from distributing any retail central bank digital currency directly to U.S. citizens. This law is viewed by the Trump administration and the cryptocurrency sector as a method for integrating digital money into the traditional financial framework.
Let me tell you, the whole cryptocurrency community has been ridiculed and ignored for many years," the president stated. "Just a year and a half ago, you were considered insignificant. However, this signing represents major recognition.
Recent months have seen the Trump family's cryptocurrency investments boost their overall net worth, coinciding with changes in the administration's stance on regulating digital currencies. The White House maintains that there is no conflict of interest, stating that the president’s assets are held within a trust overseen by his offspring. Prominent individuals from the cryptocurrency sector, such as Cameron and Tyler Winklevoss, who attended an event on Friday, supported President Trump's campaign in 2024.
On Friday, the president also highlighted his choice to grant clemency Ross Ulbricht the creator of the online black market known as Silk Road, who received a life sentence in 2015.
The Genius Act was not the only legislation causing concern among House Republicans this week. The chamber also passed a request from the president to recover approximately $9 billion retrieve around $9 billion recoup roughly $9 billion get back nearly $9 billion secure the return of about $9 billion reclaim approximately $9 billion obtain the recovery of around $9 billion fetch back almost $9 billion reverse the loss of about $9 billion gain possession of roughly $9 billion securing funds for international assistance and public media during a late-night session, approving modifications the Senate introduced to the legislation, referred to as a rescission package, earlier in the week.
Approval of the budget reductions took place Implementation of the financial cutbacks occurred The enactment of the funding decreases happened The passage of the monetary reduction measures occurred The adoption of the financing cuts was made The approval of the budgetary reductions took effect The implementation of the fiscal cutback provisions occurred The acceptance of the funding decrease measures was carried out The execution of the resource limitation actions took place The authorization of the capital reduction initiatives was granted held up This week, amid Democratic attempts to compel the disclosure of documents concerning a registered sexual offender Jeffrey Epstein . In the end, the proposal was approved by the House through party voting, with two Republican members supporting Democratic opposition to it. The legislation recovers approximately $8 billion for international aid initiatives, such as those managed by the U.S. Agency for International Development, and around $1 billion for public radio and television networks. It is anticipated that the president will sign it shortly.
Republicans have attempted this for 40 years and failed... but not anymore," Mr. Trump posted on Truth Social, referencing the effort to cut financial support for the organization responsible for managing federal funds for NPR and PBS. "THIS IS HUGE!!!
The signing event for the GENIUS Act occurred amid heightened attention on the Epstein investigation. On Thursday night, President Trump directed Attorney General Pam Bondi to request access to grand jury documents connected to Epstein, a registered sexual offender who passed away while in federal detention in 2019. President Trump has... faced increasing pressure to reveal additional details regarding the case after the Justice Department stated that no more documents would be made public following an examination of the evidence.
"Given the excessive media attention surrounding Jeffrey Epstein, I have requested Attorney General Pam Bondi to release any and all relevant grand jury records, pending court authorization," the president stated in his message. Truth Social This fraud, carried out by the Democrats, must stop immediately!
Bondi stated that the Department of Justice is prepared to have the court unseal the grand jury records as early as tomorrow. A judicial officer will decide ultimately whether the documents should be released publicly, and this procedure might require several weeks or even months.