GENIUS Act Establishes Federal Oversight for $256 Billion Stablecoin Industry Amid Asian Regulatory Push and China’s Yuan Digital Tokens

The GENIUS Act, recently signed into law by former President Donald Trump, establishes federal regulatory oversight of the global stablecoin industry, marking a new era for stablecoin regulation in the United States. This legislation officially legitimizes stablecoins, a category of cryptocurrency pegged to the U.S. dollar, which now exceeds $256 billion in market value. The Act has prompted regulatory responses across Asia, with countries from Seoul to Manila accelerating efforts to license local-currency stablecoins. Major companies such as JD.com, Ant Group, and KakaoPay are exploring stablecoin issuance, while China is developing its own yuan-backed digital tokens amid concerns over capital flight. The U.S. government's move is seen as an effort to maintain monetary influence globally as stablecoins gain prominence, though challenges remain in implementing effective regulation and oversight.