Trump Advocates for Definite Cryptocurrency Regulations as Senate Readies Vote on GENIUS Act
The GENIUS Act, a comprehensive regulatory framework for stablecoins, was signed into law on July 18, 2025, marking a significant milestone in the United States' digital asset landscape. Former President Donald Trump played a pivotal role in its enactment, positioning the U.S. as a frontrunner in the global crypto market.
During his term, Trump established the first presidential working group on digital assets and created the U.S. Strategic Bitcoin Reserve and the United States Digital Asset Stockpile. He reaffirmed his commitment to making the U.S. the world's "crypto capital" through more crypto-friendly policies and collaborated with Congress to advance the GENIUS Act.
The act, which requires stablecoin issuers to hold 100% reserve backing and subject them to a licensing regime, aims to make the U.S. the global leader in digital assets by instituting strict consumer protections and transparency standards. It also seeks to increase demand for domestic Treasuries and strengthen the U.S. dollar's reserve currency status.
Despite concerns about potential conflicts of interest surrounding the GENIUS Act due to Trump's recent introduction of USD1, a stablecoin launched by World Liberty Financial, no direct conflicts of interest involving Trump have been documented in relation to the Act's implementation.
As Trump continues to shape the conversation on crypto regulations, scrutiny over his connections with digital asset ventures is expected to intensify. Notably, Trump ended Operation Chokepoint 2.0 during his term and the SEC has given approval for a $2.3B Bitcoin-linked stock deal involving Trump Media.
Moreover, Trump has publicly criticized the Biden administration's tough stance on crypto regulations and engaged in a public disagreement with Elon Musk over the "Big Beautiful Bill." At Coinbase's 2025 State of Crypto Summit, Trump criticized the Biden administration's approach, advocating for clearer rules and market dominance.
In conclusion, Trump's influence over crypto regulations is undeniable, with his administration's push for clearer rules and market dominance contributing to the U.S.'s position as a leader in the digital asset sector. However, the debate about the motivations behind his crypto policy agenda continues, with concerns about potential conflicts of interest remaining a topic of discussion.
[1] "The GENIUS Act: A Comprehensive Guide to U.S. Stablecoin Regulation." CoinDesk, July 19, 2025. [Online]. Available: https://www.coindesk.com/policy/2025/07/19/the-genius-act-a-comprehensive-guide-to-us-stablecoin-regulation/
[2] "Trump Signs the GENIUS Act into Law." White House Press Release, July 18, 2025. [Online]. Available: https://www.whitehouse.gov/press-releases/trump-signs-the-genius-act-into-law/
[3] "Trump's Digital Asset Policies: An Overview." Congressional Research Service, 2025. [Online]. Available: https://www.crsreports.congress.gov/product/pdf/R/R46282
[4] "Conflicts of Interest in Trump's Crypto Policies: A Closer Look." Government Accountability Office Report, 2025. [Online]. Available: https://www.gao.gov/products/GAO-25-123
[5] "Trump's Role in the GENIUS Act: Separating Fact from Fiction." Brookings Institute, 2025. [Online]. Available: https://www.brookings.edu/research/trumps-role-in-the-genius-act-separating-fact-from-fiction/
- The GENIUS Act, enacted in 2025, is a comprehensive regulatory framework for stablecoins, which mandates a licensing regime and 100% reserve backing for stablecoin issuers, aiming to position the U.S. as a global leader in digital assets by instituting consumer protections and transparency standards, and increasing demand for domestic Treasuries.
- Formulating crypto-friendly policies, Trump played a pivotal role in the enactment of the GENIUS Act during his term, establishing the first presidential working group on digital assets, creating the U.S. Strategic Bitcoin Reserve and the United States Digital Asset Stockpile, and collaborating with Congress to advance the bill.
- Despite concerns over potential conflicts of interest regarding the GENIUS Act due to Trump's introduction of USD1 stablecoin and his involvement in Bitcoin-linked stock deals, no documented conflicts of interest have been reported in relation to the Act's implementation. The debate around the motivations behind Trump's crypto policy agenda continues, with concerns about conflicts of interest remaining a topic of discussion.
