On July 18, 2025, President Donald Trump signed the GENIUS Act (Guiding and Establishing National Innovation for Stablecoins) into law, establishing the first federal regulatory framework for stablecoins in the United States. This legislation mandates issuer licensing, reserve requirements with a 1:1 dollar backing, audits, and consumer protections for stablecoins, which are cryptocurrencies pegged to the U.S. dollar. The law also prohibits interest-bearing tokens and aims to provide clear federal oversight, primarily under the Commodity Futures Trading Commission (CFTC). The GENIUS Act is viewed as a milestone for the crypto industry, potentially enabling stablecoins to become a mainstream method for payments and money transfers globally. The legislation passed Congress with bipartisan support and is seen as a step to secure the U.S. dollar's status as the world's reserve currency, bolster national security, and cement American leadership in global finance and digital currency innovation. The law is expected to take effect by early 2027. The signing ceremony included acknowledgments of major crypto and financial firms such as Coinbase, Kraken, Circle, Tether, Visa, Robinhood, and Gemini. The White House has described the act as a catalyst for the U.S. to become the crypto capital of the world and a transformative development in financial technology.