Trump signs stablecoin act into law

U.S. President Trump on Friday signed a landmark stablecoin act into law at a White House ceremony, the first federal regulation in this regard. The Guiding and Establishing National Innovation for U.S. Stablecoins Act, or GENIUS Act, was passed by the U.S. Senate in June and by the House of Representatives on Thursday.

Trump has been a supporter of the bill and recently intervened in persuading some Republican lawmakers to vote for it. The act lays out standards for stablecoins, a kind of digital currency pegged to the U.S. dollar or other fiat currencies.

The Federal Reserve and the Office of the Comptroller of the Currency would undertake overseeing of stablecoin issuance, according to the GENIUS Act. The act also creates requirements for issuers to regularly share information about their reserves in the form of U.S. currency, demand deposits, Treasuries and other "approved assets."

mitv