- Main event, leadership changes, market impact, financial shifts, or expert insights.
- Trump’s intervention crucial to bill progress.
- Stablecoin market remains volatile due to political factors.
The event underscores the tension in US regulatory policy on stablecoins, influencing market stability and institutional involvement.
The House Freedom Caucus opposed the advancement of the GENIUS Act, aiming for a stronger version. This led to the cancellation of floor votes by House Speaker Mike Johnson. President Trump’s intervention was pivotal in resolving the standoff as his administration holds a financial stake in World Liberty Financial. House Majority Leader Rep. Steve Scalise orchestrated procedural delays to prompt a strategic revote on the bill. Trump said, “Republicans who voted against it wanted it to be ‘stronger.’”
The GENIUS Act’s delay has immediate impacts on the stablecoin market, including a temporary decline in the stock value of Circle Internet Financial and a drop in major cryptocurrencies. The market anticipates that regulatory clarity will unlock significant institutional capital flow.
The political delay in passing the GENIUS Act shows political maneuvers’ potential to disrupt market stability. Bank of America and other institutions await regulatory outcomes to proceed with stablecoin endeavors. If passed, the legislation will provide a stable framework, impacting USDC, USDT, USD1, ETH, and DeFi protocols profoundly. Brian Moynihan, CEO of Bank of America, stated, “If they make that legal, we’ll get into that business,” signaling major incumbents are poised to enter stablecoin issuance if regulation clears.
Looking forward, the institutional reaction will rely on the GENIUS Act’s regulatory framework clarity. Historical patterns in crypto regulation reveal potential for decreased institutional activity if delays persist. The events emphasize the complex interplay between politics and market dynamics in the digital asset sector.
About the author
Orca Announces Launchpad Product Release for Late July
Orca's Launchpad is set for release in 2025, focusing on aiding human users above bots and its impact on the Solana ecosystem.
Liquid Collective Introduces LsSOL to Institutional Investors
Liquid Collective launches LsSOL token on Solana for institutional investors, marking a significant step in liquidity staking.
U.S. Crypto Market Structure Bill Gains Bipartisan Momentum
Strong bipartisan support emerges for U.S. crypto market structure bill.
Trump Media Files AI Trademarks for Truth Social Platforms
Trump Media & Technology Group files AI trademarks for Truth Social, signaling strategic expansion into AI technology.
Stable U.S. PPI June Data Calms Inflation Concerns
U.S. PPI data shows 2.3% annual rate, 0% monthly change in June.
House Republicans Stall Stablecoin Bill Amid Trump Intervention
House Republicans delay the GENIUS Act; Trump intervenes to push it forward, impacting stablecoin market dynamics.
Related
Orca Announces Launchpad Product Release for Late July
Orca's Launchpad is set for release in 2025, focusing on aiding human users above bots and its impact on the Solana ecosystem.
Liquid Collective Introduces LsSOL to Institutional Investors
Liquid Collective launches LsSOL token on Solana for institutional investors, marking a significant step in liquidity staking.
U.S. Crypto Market Structure Bill Gains Bipartisan Momentum
Strong bipartisan support emerges for U.S. crypto market structure bill.
Trump Media Files AI Trademarks for Truth Social Platforms
Trump Media & Technology Group files AI trademarks for Truth Social, signaling strategic expansion into AI technology.
Stable U.S. PPI June Data Calms Inflation Concerns
U.S. PPI data shows 2.3% annual rate, 0% monthly change in June.
Major Liquidations Impact $351 Million Across Crypto Markets
$351 million crypto liquidations hit markets, with significant BTC and ETH positions affected.
Be the first to leave a comment