US President Donald Trump has called on the House of Representatives to expedite the passage of the GENIUS Act, a bill aimed at regulating dollar-pegged cryptocurrencies.

In a post on Truth Social, Trump said, “The House will hopefully move LIGHTNING FAST, and pass a ‘clean’ GENIUS Act. Get it to my desk, ASAP — NO DELAYS, NO ADD ONS.”

He believes it could help position the US as a leader in the digital asset sector.

The GENIUS Act was approved by the Senate with bipartisan support on June 17. It now awaits a decision in the House.

The bill proposes a regulatory framework for stablecoins. It requires full backing by US dollars or equivalent liquid assets.

🔗 Source: The Block

🧠 Food for thought

1️⃣ Stablecoins could reshape treasury markets as adoption grows

The economic impact of stablecoin regulation extends beyond crypto markets, potentially affecting U.S. Treasury yields and monetary policy.

Citigroup estimates the stablecoin market could reach $1.6 trillion by 2030, which would significantly increase demand for Treasury securities since stablecoins must maintain reserves in safe assets 1.

This growing demand could put downward pressure on short-term Treasury yields, potentially lowering borrowing costs for the U.S. government but complicating the Federal Reserve’s interest rate management 1.

The GENIUS Act’s requirement for stablecoins to be fully backed by U.S. dollars or similarly liquid assets creates a direct link between crypto adoption and traditional financial markets that didn’t previously exist at this scale 2.

Economists note this connection could introduce new volatility in Treasury markets during periods of crypto stress, as large-scale stablecoin redemptions might trigger sudden selling of reserve assets 1.

2️⃣ Global stablecoin race intensifies with regulatory clarity

The GENIUS Act represents America’s bid to lead in the increasingly competitive global stablecoin landscape where several countries are establishing regulatory frameworks.

The U.S. already hosts major stablecoin projects like Tether and USDC, but faces growing competition from China (which launched First Digital USD), Switzerland (known for crypto-friendly regulations), and even Nigeria (with its eNaira initiative) 3.