On Friday afternoon, President Donald J. Trump signed the Guiding and Establishing National Innovation for U.S. Stablecoins (GENIUS) Act into law, hailing it as a “giant step to cement American dominance of global finance and crypto technology“.
The new law establishes the first comprehensive regulatory framework for U.S. dollar backed stablecoins, aiming to modernize the U.S. financial infrastructure and maintain the dollar’s supremacy as the world’s reserve currency. At times veering into campaign-style commentary and personal anecdotes, Trump cast the legislation as both a technical revolution and a political triumph.
This could be perhaps the greatest revolution in financial technology since the birth of the internet itself. It’s really strengthening the dollar and giving it great prominence.
said Donald Trump, the President of the U.S.A.
Flanked by lawmakers, crypto executives, and administration officials, Trump repeatedly praised the bipartisan coalition that helped push the GENIUS Act over the finish line, after weeks of speculation that the bill was dead.
The legislation, spearheaded by Sen. Bill Hagerty (R-TN), allows for the issuance of stablecoins backed one to one by U.S. dollars, Treasury bills, or cash equivalents. It also enables near-instantaneous settlements and low-cost transactions using blockchain infrastructure, what the president called “cryptotech technology“.
Stablecoins, Not CBDCs
Trump reiterated his opposition to a central bank digital currency (CBDC), pledging to permanently ban its creation.
We will never allow a central bank digital currency. We’ve already stopped it with executive order, and soon we’ll sign it into law.
said Donald Trump, the President of the U.S.A.
Instead, the GENIUS Act promotes private-sector issued stablecoins that preserve “the privacy, flexibility, and decentralization of cash”, according to White House White House AI and Crypto Czar, David Sacks, who joined the administration earlier this year.
This is a once in a generation upgrade to our payment rails. For every digital dollar in a crypto wallet, there will be a traditional dollar in a U.S. bank account.
said David Sacks, White House AI and Crypto Czar, noting the bill’s potential to generate trillions in demand for U.S. Treasuries.
Notably, the new bill includes strong safeguards around the 1:1 backing of stablecoins, federal registration requirements, and regulatory coordination between the Treasury Department and the newly restructured SEC under Chair Paul Atkins.
Trump praised Atkins and Commissioner Hester Peirce, dubbed “crypto mom” by the industry, as part of a new regulatory regime “that wants America to build the future, not block it“.
South Florida Ties & Industry Buzz
Several South Florida linked players attended or were named during the press conference, including Rumble CEO Chris Pavlovski (based in Longboat Key) and Rep. Anna Paulina Luna (FL-13), both vocal crypto advocates. Trump also praised Rep. Monica De La Cruz (TX) and Rep. Ralph Norman (SC), nodding to the bipartisan makeup of the bill’s supporters.
Trump’s speech concluded with a forceful message:
Today we’re signing the future of crypto and the future of the U.S. dollar, working hand in hand. Bigger, better, stronger than ever before.