The week of legislative activity marks a turning point for the sector, particularly as former President Donald Trump, now seeking re-election, has called on lawmakers to overhaul the current regulatory framework.

He has sharply criticized the Securities and Exchange Commission (SEC) under President Joe Biden’s administration (2021–2025), accusing it of stifling innovation through aggressive lawsuits and unclear rules.

Threeare presented for debate this week, each poised to reshape how crypto is regulated in the US:

- The GENIUS Act (Guiding and Establishing National Innovation for US Stablecoins) aims to resolve the long-standing ambiguity over whether digital assets are securities or commodities. This clarity is expected to help startups navigate regulations without facing legal uncertainty. The bill has already passed the Senate.

- The Clarity Act seeks to limit federal agencies from using judicial rulings to expand their regulatory authority over crypto. It reinforces that Congress—not the courts—should decide how digital assets are classified and governed.

- The Anti-CBDC Surveillance State Act would prevent the Federal Reserve from issuing a central bank digital currency (CBDC), citing concerns that such a move could open the door to intrusive government oversight of Americans’ financial transactions.

On July 17, the GENIUS Act cleared a major hurdle, passing the US House of Representatives by a 308–122 vote, drawing notable bipartisan support, including from many Democrats. According to the NPR, the bill now President Trump’s signature as it has already been passed by the Senate.

“Advancement of this bill to President Trump's desk marks a historic milestone for crypto entrepreneurs, financial market participants, and everyday Americans,” said SEC Chairman Paul Atkins in a public statement. The endorsement from the current SEC leadership underscores a dramatic policy shift. The crypto industry, once threatening to do its business outside the US citing a hostile environment and heavy-handed enforcement, accused US financial regulators (like the SEC) of enacting confusing or conflicting rules in the past.

A major focus of the GENIUS Act is stablecoins, a fast-growing sector of crypto that offers price stability by pegging coins to traditional currencies like the US dollar. Stablecoin issuers hold an equivalent amount of dollars in reserve, ensuring that customers can redeem them at face value. This requirement is seen as a trust-building mechanism that makes stablecoins a more secure form of cryptocurrency. Supporters argue that stablecoins could revolutionize global payments and as stablecoins gain broader acceptance, they could disrupt traditional financial systems, eventually replacing credit cards, international remittance services, and perhaps even central bank-controlled currencies.

As Congress continues its debate on these transformative proposals, all eyes are on Washington. With Bitcoin soaring and regulatory momentum accelerating, Crypto Week could mark the beginning of a new era for digital finance in the United States.

By Nazrin Sadigova