Xinhua News Agency commented on the US "Genius Act": The credibility and international responsibility of the US dollar will affect global acceptance, and simply changing the form is not enough to consolidate the influence of the US dollar and stablecoins

Odaily Planet Daily News Trump officially signed the "Guide and Establishment of the United States Stablecoin National Innovation Act" (referred to as the "Genius Act") at the White House, marking the first time that the United States has established a regulatory framework for stablecoins. Trump said that stablecoins will help increase demand for U.S. Treasuries, lower interest rates, and consolidate the dollar's position as a global reserve currency. He reiterated that "central bank digital currency will never be allowed to be established in the United States." The "Genius Act" requires stablecoins to be supported by liquid assets such as the U.S. dollar or U.S. short-term Treasury bonds, and issuers must disclose reserve details every month. Currently, the world's two largest stablecoins, USDT and USDC, account for nearly 90% of the total market value. According to statistics, the stablecoin market size is about US$247 billion, and U.S. Treasury Secretary Bessant expects it to grow to US$3.7 trillion by 2030. Experts pointed out that the United States is pushing for stablecoins in order to take advantage of the existing advantages of the U.S. dollar and maintain its dominant position in the global currency and payment system. Some believe that this move may ease the pressure on U.S. debt. However, some Democratic lawmakers questioned that the bill failed to provide sufficient consumer and financial stability protection, and pointed out that the Trump family has a connection with cryptocurrencies. Some Republican lawmakers also believe that the bill conflicts with Trump's previous executive order banning central bank digital currencies. (CCTV News)