Background: On June 17, the U.S. Senate passed the GENIUS Act, which focuses on payment stablecoins backed one-to-one by U.S. Treasury securities and cash equivalents. President Trump called on the House of Representatives to expedite the review of the bill, calling it an "incredible bill." The House is also considering a similar STABLE Act.

Main Events: The GENIUS Act received bipartisan support. Blockchain industry associations and leaders welcomed Trump's push for legislation. U.S. Treasury Secretary Janet Yellen denied claims that cryptocurrencies threaten the U.S. dollar, emphasizing that stablecoins offer faster and cheaper payment methods, challenging traditional payment giants Visa and Mastercard.

Market Reaction: After the passage of the GENIUS Act, Visa and Mastercard shares fell by about 5%, while shares of Coinbase and stablecoin issuer Circle rose by 16% and 34%, respectively. Nevertheless, traditional financial institutions may launch similar products and should not be underestimated.

SoSoValue Note: This article contains information related to SoSoValue.

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President Donald Trump has called on the House of Representatives to fast-track the stablecoin bill, the GENIUS Act.  In a post initially shared on his Truth Social, Trump hailed the Senate GENIUS Act as an ‘incredible bill’ and added, Focus turns to the HouseThe stablecoin bill garnered bipartisan support during its final passage in the Senate on the 17th of June. The next stage will be consideration by the House, which also has a similar bill, the STABLE (Stablecoin Transparency and Accountability for Better Ledger Economy) Act. According to the blockchain intelligence firm TRM Labs, the key issues at the House will be, For perspective, the GENIUS Act only focuses on ‘payment stablecoins’ backed one for one by U.S. treasury bonds and other cash equivalents. That said, the urgency for House approval on the bill was also echoed by Blockchain Association, an umbrella voice for crypto industry advocacy. Industry leaders welcomed Trump’s stance on moving the legislation faster. This was a stark difference and relief from Biden-era enforcement action in the sector.Reacting to the president’s clarion call, Bitwise CEO Hunter Horsley said, For his part, the U.S. Treasury Secretary Scott Bessent dismissed claims of crypto being a threat to the dollar and slammed governments for ignoring the sector for far too long. He added, Stablecoins or digital dollars offer near-instant, cheaper and flexible payments that rival slow and expensive traditional offerings by Visa and Mastercard. In fact, the GENIUS Act passage showed the market was ready for the potential disruption of digital dollars. Visa and Mastercard shares dropped about 5% while Coinbase’s COIN and stablecoin issuer Circle (CRCL) shares jumped 16% and 34% respectively. But some cautioned that the TradFi players shouldn’t be overlooked because they will probably unveil similar offerings. 

Trump Calls on the House of Representatives to Expedite Review of the GENIUS Act; Stablecoin Legislation Sparks Market Volatility

Trump Calls on the House of Representatives to Expedite Review of the GENIUS Act; Stablecoin Legislation Sparks Market Volatility