US Requires Stablecoins to Be 100% Dollar-Backed, New Rules Officially Take Effect!
The United States has passed a landmark bill called the GENIUS Act (Guiding and Establishing National Innovation for U.S. Stablecoins Act) by mid-July 2025. The bill was approved by the U.S. House of Representatives on July 17 and signed into law by President Donald Trump on July 18, 2025. This marks a new milestone in digital asset regulation, particularly for stablecoins—a type of crypto asset whose value is pegged to the U.S. dollar.
The main thrust of the GENIUS Act is to require all stablecoins circulating in the U.S. to be 100% backed by real assets like USD. This means that each stablecoin must have a reserve fund equivalent in value and cannot be based solely on algorithms or trust systems. Furthermore, stablecoin issuers are required to undergo regular audits and disclose transparent financial reports.
The goal of this law is to create a stablecoin ecosystem that is safe, stable, and trusted by the public and financial institutions. With strict oversight, the US government hopes stablecoins will become widely used, even for everyday transactions like shopping in stores or sending money across borders. This also opens up opportunities for large companies like Amazon or Mastercard to start accepting stablecoins as a means of payment.
This has a significant impact on the global crypto industry, as the US is considered a global financial center. Many countries are now using this move as a benchmark for creating similar regulations. On the other hand, stablecoin projects that lack clear reserves risk having their operations restricted, or even banned from the US market. (ayu)
Source: Newsmaker.id
