Experts Comment: How Will the US’s GENIUS Act Influence the Global Crypto Industry and International Crypto Regulation?

On 18 July 2025, President Donald Trump made history by signing the GENIUS Act into law, a landmark moment that could significantly influence the global cryptocurrency landscape.

Designed to regulate stablecoins through robust reserve backing and regulatory oversight, the law represents a pivotal shift in how governments approach digital assets. In fact, it has the potential to change the industry forever.

But, how will the GENIUS Act influence the crypto industry, and how will it affect global crypto regulation? We’ve chatted to experts and asked them, what ripples will this create across borders and digital markets?

A New Benchmark in Stablecoin Regulation

The GENIUS Act establishes a framework that could set a global precedent. By mandating 100% reserve backing, with liquid assets such as U.S. Treasuries, the aim is to ensure stablecoin stability and consumer protection. Coupled with stringent AML requirements and enforced transparency rules, this law may serve as a template for other nations seeking to regulate digital assets.

As policymakers worldwide face mounting pressure to act, the Act’s detailed institutional mechanisms could influence emerging standards in Europe, Asia, and Latin America. The question for global crypto regulators is whether they will mirror this U.S. approach or, on the other hand, will they choose more flexible or divergent paths?

Impacts on Innovation and Compliance

While the Act offers clarity for stablecoin issuers, it could also introduce new burdens. Compliance with reserve audits, legal reserve structure and consumer claims protections will require robust infrastructure., potentially advantaging larger firms.

Critics warn that this could limit competition, particularly among startups lacking legal and financial resources. Internationally, crypto firms operating across borders may need to adapt to the U.S. standard or develop parallel systems for other jurisdictions.

As a result, the global crypto ecosystem may bifurcate into heavily regulated and lightly regulated regions, raising fresh questions around innovation, interoperability and cross-border financial integrity.

Here’s what the experts have to say on the matter.

Experts Comment:

• Kevin He: Co-Founder of Bitlayer
• Osama Bari: CTO of D24 Fintech Group
• Manthan Davé: Co-Founder of Palisade
• Yi Luo: CEO of Eunice
• Jack Land: Head of Marketing and Growth at MetaWealth
• Laurent Descout: CEO and Founder at Neo
• Lee Holmes: CEO of INFINOX
• Jesus Rodriguez: CEO-CPO of Sentora
• Lukas Enzersdorfer-Konrad: Deputy CEO of Bitpanda
• Peter Curk: CEO of ICONOMI
• Przemysław Kral: CEO of zondacrypto

Manthan Davé, Co-Founder of Palisade

“The GENIUS Act signals overdue progress, but it can’t pretend to lead when it’s clearly playing catch-up. The US’s Crypto Week has made this particularly evident, putting discussions on digital asset legislation front and centre. Europe, with MiCA, has already set a precedent: regulation doesn’t have to strangle innovation – it can stabilise it. While US policymakers have recently been stuck in partisan tug-of-wars, European regulators have delivered actionable frameworks that businesses can actually build on.

“Crypto Week underscores the urgency for the US to act decisively. If the Act merely establishes a siloed US stablecoin ecosystem, even with strong backing requirements, it risks stifling the burgeoning on-chain finance sector.

“The real test for GENIUS will be whether it provides clear pathways for regulated entities to issue stablecoins that are not only compliant but also composable within DeFi protocols, serving as robust collateral for decentralised lending, trading, and settlement, without introducing prohibitive friction or centralising points of control that undermine the core tenets of decentralised finance.

“Failure to achieve this nuanced interoperability and composability, especially regarding the emerging tokenised Treasury market and other RWAs, would leave US stablecoins as digital analogues of traditional money, rather than true catalysts for next-generation financial infrastructure.

“Global businesses won’t wait for Washington to figure it out. They’ll go where the rules are clear, enforceable, and consistent. The digital asset economy doesn’t respect borders. It demands coordination. Unless US regulation can plug into what’s already working globally – starting with custody, compliance, and cross-border standards – GENIUS will fall short of its name.”

Osama Bari, CTO of D24 Fintech Group

Kevin He, Co-Founder of Bitlayer

“So, the Genius Act is basically the U.S. legitizing stablecoins, forcing issuers to hold full reserves in dollars or Treasuries and introduces federal‑state oversight. That clarity is huge globally, it puts stablecoins on a proper legal footing, not some wild west playground. You’re now seeing major banks and fintechs saying, “Hey, we can do this” because there’s less legal murk. Sure, critics worry about U.S. oversight creeping into international markets, but right now it’s giving crypto firms legit breathing room. And trust me, when TradFi warms up to crypto, other regions start taking notes.

I suspect it’s [the Genius Act] going to have a rapid trickle-down effect. The U.S. is the world’s biggest financial heavyweight. When they set rules, like mandates for full reserves and dual federal/state oversight, others scramble to match or outdo it. Think the EU’s MiCA, or Asia’s frameworks: they’ll tweak their rules to stay competitive. And foreign issuers targeting U.S. users will have to comply, or risk being shut out. Countries will either align or diverge. Either way, this law’s a benchmark for others and shows that stablecoins are no longer fringe, they’re part of mainstream finance.”

Yi Luo, CEO of Eunice

“The passing of the GENIUS Act is a defining moment for the stablecoin ecosystem – not because it signals that regulation is coming, but because it finally begins to clarify how stablecoins will be treated as part of the financial system. For years, stablecoins have operated in a grey zone: systemically important to digital markets, increasingly relied upon by institutions, yet lacking any cohesive framework for oversight or accountability.

What’s significant about this legislation is that it goes beyond headline requirements like 1:1 reserve backing. It introduces a regulatory logic that places stablecoins within the broader financial infrastructure conversation with disclosure, licensure, and risk oversight that echo traditional prudential standards. That’s a shift from viewing stablecoins as experimental payment tokens to recognising them as core market infrastructure.

But what the GENIUS Act also reveals – if you read between the lines – is how outdated our existing mechanisms for transparency really are. Disclosure requirements are only as good as the systems that deliver and validate them. And that’s the real challenge ahead: implementation. Static PDFs on issuer websites won’t cut it in markets that move 24/7. Regulators, institutions and infrastructure providers will all need to rethink how information is structured, surfaced and monitored and not just for stablecoins, but across tokenised finance more broadly.

This legislation sets a high bar, and rightly so. But delivering on its intent will require more than compliance checklists. Modern infrastructure will need to keep pace with real-time risk and meeting that challenge will require a complete rethink of how disclosure systems are designed and deployed. This means going beyond just upgrading what exists, but building a new layer of digital infrastructure that’s fit for an always-on, tokenised economy. It’s not just a question of compliance but also a question of operational readiness for the future of finance.”

Jack Land, Head of Marketing and Growth at MetaWealth 

The passage of the GENIUS Act marks a significant milestone for the digital asset industry, delivering long-awaited regulatory clarity for stablecoins. By establishing rules around liquidity, disclosure and becoming fully backed, the bill legitimises stablecoins as a viable instrument of the financial system, offering a foundation for more secure, scalable use in payments and trading.

This legislation should serve as a blueprint for regulating other DeFi technologies – particularly tokenized real-world assets (RWAs). Tokenized RWAs remain outside the scope of current federal rules, creating uncertainty around custody, taxation, and inter-jurisdiction recognition. Like stablecoins, RWAs depend on trust, verifiability and compliance to function effectively at scale.  A clear regulatory framework would signal growing willingness by policymakers to bring tokenisation of RWAs into the fold of the regulated financial system.

As innovation outpaces regulation, as we have seen with stablecoins, the need for comprehensive guidance becomes ever more critical. Now that President Trump has signed the GENIUS Act into law, the US legislature must broaden the scope of its regulatory action, bringing clarity to the rest of the DeFi industry and supporting global adoption of blockchain-based technologies.

Laurent Descout, CEO and Founder at NEO

“With the passing of the GENIUS Act and major players like Amazon and Walmart reportedly exploring stablecoin-style payment models, it’s clear that digital assets are moving into the mainstream.

By pegging their value to fiat currencies like the US dollar, stablecoins avoid the volatility of traditional crypto, making them a secure and efficient option for businesses and consumers alike. This stability is already proving valuable in cross-border payments, where stablecoins enable faster settlement and lower fees without the need for multiple intermediaries.

With clearer rules now in place, stablecoin adoption could accelerate, and treasurers should be evaluating the right partners and platforms now to stay ahead of the curve.”

Lee Holmes, CEO of INFINOX

“As CEO of INFINOX, I view the GENIUS Act as a pivotal milestone in defining how stablecoins should operate within a robust regulatory framework. The Act mandates full 1:1 reserves held in high‑quality liquid assets like U.S. Treasuries, monthly audits, AML compliance, and restricts issuance to regulated financial entities (banks, credit unions, federally or state‑qualified issuers).

These measures aim to promote transparency and protect consumers, while also preserving the integrity of the U.S. dollar in the digital economy. At INFINOX, we see this as a signal that innovation and compliance can, and must, coexist. Echoing peers like OKX US and Douro Labs, we believe that clear, bank-grade guardrails need not stifle innovation but instead build trust, enabling stablecoins to gain acceptance as the next evolution of programmable money. Like many in fintech, we’re encouraged that the Act strikes a thoughtful balance – establishing creditable oversight without impeding the dynamism that drives long-term growth and inclusion in global markets.”

Jesus Rodriguez, CEO-CPO of Sentora

“The passage of the GENIUS Act marks a decisive moment in the US digital currency landscape. By effectively shutting down the prospect of a central bank digital currency, the U.S. is signalling a clear preference for private sector innovation, particularly in the realm of regulated stablecoins, as the path forward for digital dollars.”

From a global perspective, this move will intensify the dilemma faced by central banks. Do they develop their own sovereign digital currencies, or continue to rely on the US dollar’s digital proxies, such as USD-backed stablecoins? For emerging markets and dollarized economies, the lack of a US CBDC entrenches their dependence on dollar-denominated stablecoins like USDC and USDT.”

Meanwhile, major central banks, especially in the EU, China, and parts of Asia, may now accelerate their own CBDC programs, seeing the US decision as a strategic opportunity to assert digital monetary sovereignty and reduce reliance on dollar liquidity rails.

At the same time, this development presents a competitive advantage for US fintech and crypto-native firms that can now build regulatory-compliant stablecoins with greater certainty, potentially cementing the dollar’s digital hegemony through market forces rather than central policy.”

Lukas Enzersdorfer-Konrad, Deputy CEO of Bitpanda

“The passage of the GENIUS Act in the US House is a clear signal that regulatory momentum in Washington is finally catching up with the pace of innovation in crypto. This breakthrough is fuelling broad market optimism in BTC, as we’ve seen from the recent all time high, and now for altcoins. Assets like XRP and DOGE are rallying and the overall crypto market cap has crossed $4t for the first time because investors are anticipating a more stable and supportive regulatory environment. Broad rallies need confidence and when the world’s largest economies begins laying the groundwork for legal clarity it lifts sentiment across the board.”

Peter Curk, CEO of ICONOMI

How will the Genius Act influence global crypto regulation?

The U.S. just moved from regulatory gridlock to a working playbook and the rest of the world will need to respond. The Act creates a dual path: federal clarity with room for state innovation. That balance will put pressure on others, especially as capital and talent start to follow the frameworks, not the headlines.

For countries like the UK or Singapore, it’s a strategic fork in the road: adapt or fall behind. For China, it’s a reminder that private dollar-backed assets are now competing with CBDCs on utility and trust. The world is watching how the U.S. operationalises this—and whether it sets the tone for the next wave of digital finance.

Przemysław Kral, CEO of zondacrypto

“We’ve been watching the US market for a while. Until recently, it was too uncertain to make big moves but that’s changing fast.

The GENIUS Act brings much-needed clarity for stablecoins – but banning interest features could block some real-world use cases. It’s good to set rules, but they also need to leave space for development.

The CLARITY Act helps settle the fight between the SEC and CFTC, which has slowed down progress for years. But what really matters now is how it will be used in practice.

The Anti-CBDC Act asks the right questions. People deserve to know if their government plans to track how they spend their money. Even if you support digital currencies, this debate needs to happen.

We already follow high standards in Europe and Switzerland, so we’re prepared to meet the US requirements too. There’s a clear demand in the US for simple tools that connect crypto and traditional money. That’s exactly what we’re building and we’re ready to bring it to the US when the time is right.”