The U.S. Senate’s decisive passage of the GENIUS Act, with a strong 68–30 bipartisan vote, marks a watershed moment for stablecoin regulation.

By mandating one-to-one backing and monthly reserve disclosures, it lays the groundwork for robust compliance, paving the way for mainstream adoption.

For investors and institutions, this clarity translates into confidence. As EY’s Paul Brody noted, clear guardrails elevate market quality and give CFOs the reassurance to explore stablecoin-based payments.

Market reactions— like Circle surging 16-27%–underline renewed institutional trust

Economically, David Sacks and others foresee rising demand for U.S. Treasuries and strengthening dollar dominance, with ripple effects extending into broader finance.

Still, potential downsides like compliance costs, concentration among large issuers, and offshore regulation gaps remain.

Enhanced regulatory clarity is likely to drive mainstream adoption of stablecoin-adjacent assets, with the market cap for assets like USDC and USDT potentially rising 20%-30% yearly, assuming sustained market optimism.

Looking ahead, it’s crucial to monitor the bill’s progress in the House and final text.

If passed, we could see stablecoin capitals boost, while smaller players may struggle, large-scale adoption and institutional integration seem closer than ever.

Ryan Lee, Chief Analyst at Bitget Research

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