In a major move to strengthen the U.S. dollar and bring digital currencies under regulation, former President has signed the , a landmark law that sets clear rules for dollar-backed .
Under this law, companies issuing stablecoins must fully back their digital tokens with real dollars or short-term U.S. bonds. They are also required to release showing what’s backing their coins.
The aim of the law is to keep the while making digital currencies safer and more transparent for users. U.S. Treasury Secretary Scott Bessent stated that the law will help and increase demand for U.S. financial assets.
At the signing ceremony, Trump said the law is a “win for America” and will “lead the world in financial innovation.”
However, some critics raised concerns that the law from conflict-of-interest rules, especially since Trump himself has been involved with a crypto company.
Despite the criticism, supporters say the GENIUS Act will open new doors for banking, international payments, and investment in the stablecoin market, which could grow to by 2028.
This story has been reported by PakTribune. All rights reserved.
