Smart Cryptocurrencies to Invest In: DexBoss Boosts Intelligent Wallet Guidance, XRP Prospers with Stablecoin Regulation Changes as Trump Endorses GENIUS Act Legislation!
On July 18, 2025, President Donald Trump signed the Guiding and Establishing National Innovation for U.S. Stablecoins Act (GENIUS Act) into law. This landmark legislation establishes the first comprehensive U.S. regulatory framework specifically for payment stablecoins, a subset of digital assets designed for payment and settlement with a fixed monetary value pegged to a stable asset like the U.S. dollar.
The GENIUS Act aims to protect consumers, integrate crypto innovation with traditional banking and financial regulation, and preserve U.S. dollar sovereignty in digital payments. It takes effect on January 18, 2027, or 120 days after implementing regulations are issued.
### Impact on the Cryptocurrency Market
The Act requires all payment stablecoin issuers serving U.S. persons to be authorized as "permitted payment stablecoin issuers," which can be approved bank subsidiaries, federally approved nonbanks, OCC-chartered banks, or state-chartered entities regulated by state authorities. After three years from enactment, only stablecoins issued by authorized entities may be offered or sold by U.S. digital asset service providers. Unauthorized stablecoins will be largely excluded from U.S. secondary market trading, potentially limiting access to some stablecoins for U.S. investors.
The legislation also aims to strengthen the U.S. dollar's role by backing stablecoins 1:1 with U.S. dollars or Treasury securities. Alongside GENIUS, Congress approved other crypto laws targeting digital commodities and preventing a retail Federal Reserve digital currency, signaling significant legislative focus on stablecoins and wider crypto regulation.
### Effect on Selected Altcoins
The GENIUS Act targets payment stablecoins specifically, meaning cryptocurrencies or blockchain platforms with different use cases, such as DexBoss, AurealOne, XRP, Toncoin, and Hedera, are not directly regulated by the GENIUS Act as stablecoins are. Although market dynamics influenced by stablecoin regulation may indirectly impact these assets.
For instance, secondary market restrictions on unauthorized stablecoins may drive more stablecoin users towards compliant ecosystems that include these altcoins, indirectly impacting their liquidity or adoption.
### Summary
The GENIUS Act creates a strict, federally supervised regulatory regime for U.S. payment stablecoins, aiming to protect consumers, integrate crypto into the traditional financial system, and preserve U.S. dollar sovereignty in digital payments. It does not apply directly to non-stablecoin cryptocurrencies or altcoins such as DexBoss, AurealOne, XRP, Toncoin, or Hedera, though market dynamics influenced by stablecoin regulation may indirectly impact these assets.
Issuers of stablecoins must seek approval and comply with stringent new rules by 2027, which will reshape the stablecoin market landscape in the U.S. This regulatory clarity is expected to foster innovation within a defined legal framework but could also limit access to or the use of unauthorized foreign stablecoins in the U.S., with ripple effects on the overall crypto ecosystem. The GENIUS Act aims to improve the position of the U.S. in the rapidly expanding world of the cryptocurrency market.
- The GENIUS Act will require personal-finance investors to consider the implications of the new rules on authorized payment stablecoin issuers, potentially influencing their decisions when investing in technology-driven businesses related to finance and digital assets.
- The legislation's aim to strengthen the U.S. dollar's role in digital payments and establish a federally supervised regulatory framework for payment stablecoins may encourage businesses specializing in the finance sector to invest more heavily in technology that aligns with these regulations.
- As the GENIUS Act takes effect and reshapes the U.S. stablecoin market landscape, technology companies focusing on personal-finance solutions or digital asset services might need to adapt to the new regulatory environment to ensure compliance and maintain their competitiveness in the crypto market.
