U.S. SEC Chair Supports GENIUS Act for Stablecoin Regulation

• Lyla Velez
• July 18, 2025
• Policy
• 0 Comments

Highlighting key regulatory milestones, the GENIUS Act promises clarity for stablecoin issuers, marking a significant shift from previous regulatory ambiguities and signaling enhanced investor confidence.

The GENIUS Act introduces a dual licensing framework for stablecoin issuers based on market cap, with strict federal oversight for top issuers. Paul Atkins, SEC Chair, labeled this a “historic milestone”, emphasizing the benefits of regulatory clarity.

The act’s adoption may usher in increased institutional involvement due to clearer guidelines and consumer protections. This new legislative direction aligns with broader market sentiment shifts toward regulatory acceptance of digital assets.

The focus on stablecoin regulation is expected to encourage growth in related cryptocurrencies such as ETH and BTC. Despite no immediate major on-chain data shifts, experts predict a positive regulatory impact on the ecosystem’s efficiency and risk management.

The GENIUS Act’s passage follows a history of regulatory challenges and market uncertainty under earlier SEC leadership. Industry reactions suggest potential rising interest in stablecoins and related assets, supported by clearer operational conditions.

Potential outcomes include increased market participation and innovation in digital assets, reliant on SEC and OCC’s forthcoming rulemaking. Industry analysts expect these changes to favorably affect investment and operational dynamics within the U.S. crypto landscape.

Blockchain and crypto asset technologies have the potential to revolutionize America’s financial infrastructure and deliver new efficiencies, cost reductions, transparency, and risk mitigation for the benefit of all Americans – Paul Atkins, Chair, U.S. Securities and Exchange Commission