US President Donald Trump signed one of the first bills related to crypto and blockchain of his administration into law on Friday after delays due to debates in the House of Representatives and Senate.
In a Friday signing ceremony attended by many cryptocurrency company executives and high-ranking Republicans, including Vice President JD Vance and House Speaker Mike Johnson, Trump signed the Guiding and Establishing National Innovation for US Stablecoins (GENIUS) Act into law.
The president acknowledged the support of several crypto figures in attendance, including Kraken co-CEO David Ripley, Gemini co-founders Cameron and Tyler Winklevoss, Coinbase CEO Brian Armstrong, Circle CEO Jeremy Allaire, Tether CEO Paolo Ardoino and Robinhood CEO Vladimir Tenev.
“The entire crypto community, for years, you were mocked and dismissed and counted out, you were counted out as little as a year and a half ago, but this signing is a massive validation […] of your hard work and your pioneering spirit,” said Trump, reading prepared remarks.
SEC leaders weigh in on stablecoins
US Securities and Exchange Commission (SEC) Chair Paul Atkins said in a statement that “ensuring that the US is the best and most secure place in the world to invest and do business requires clear rules of the road that allow market participants to adopt emerging technologies with confidence.”
Commissioner Hester Peirce, who also leads the SEC’s crypto task force, said that the law meant “payment stablecoins are not securities” under the regulator’s purview. The SEC issued its own guidance in April, saying certain “covered stablecoins” would be exempt from reporting requirements provided they were fully backed by physical fiat reserves or short-term, low-risk, highly liquid instruments and redeemable at a 1:1 ratio for US dollars.
Peirce added:
”People have voted with their dollars — privately issued stablecoins already enjoy broad use as a payments mechanism. The GENIUS Act, by putting a regulatory framework around them, aims to protect current and future users and the financial system.”
Trump claimed to have fired Atkins’ predecessor, Gary Gensler. The former SEC chair resigned in January on the day Trump took office.
The president also used his platform to summarize initiatives introduced since January in response to demands from the crypto industry, including pardoning Silk Road founder Ross Ulbricht, establishing a national Bitcoin (BTC) reserve, and nominating Paul Atkins to head the SEC. Trump said he backed the industry in part “for the votes” in 2024.
Related: GENIUS Act heads to Trump’s desk: Here’s what will change
Crypto week one wraps with bill signing as two others move to the Senate
The GENIUS Act was the first of three bills Republicans said they expected to make progress on before Congress went on break in August.
In addition to the stablecoin bill, the House passed the Digital Asset Market Clarity (CLARITY) Act and the Anti-CBDC Surveillance State Act with bipartisan support. Both bills will go to the Senate for consideration.
Some Senate Democrats are expected to raise objections over the two bills over claims that Trump would personally benefit from their passage. The president has a stake in his family-backed crypto business, World Liberty Financial, launched his personal memecoin before taking office, and had many cryptocurrency executives backing his presidential campaign, some of whom attended the Friday signing.
Despite the pushback from some lawmakers, 78 House Democrats voted in support of the CLARITY Act and more than 100 for the GENIUS Act. Only two Democrats in the House voted yay on the anti-CBDC bill, suggesting it may be the most vulnerable when it comes time to vote in the Senate.
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