Stablecoin, Trump: Genius Act is a revolution
Trump's measure aims to strengthen the dollar and modernise the system, amid criticism and conflicts of interest
2' min read
2' min read
US President Donald Trump today celebrated as a 'revolution' the Genius Act, the measure with which he aims to develop the stablecoin sector, in spite of accusations of conflict of interest generated by the fact that the president himself is linked to one of these cryptocurrencies tied to stable assets, such as the US dollar.
"The Genius Act creates a clear and simple regulatory framework to establish and unlock the immense potential of dollar-anchored stablecoins. This could be perhaps the greatest revolution in financial technology since the birth of the Internet," Trump said speaking from the White House.
"With this law, the old (financial) system will be able to receive a 21st century upgrade, using the most advanced cryptocurrency technology. Who would have thought we would have uttered these words two years after our first meeting?" said Trump again.
"The Genius Act," he said, "provides banks, corporations and financial institutions with a framework to issue crypto assets backed one-to-one by real US dollars, Treasury bonds and other cash equivalents. It is really strengthening the dollar and giving it great prominence."
Trumpian enthusiasm conflicts with the concerns of many analysts, who see the spread of stablecoins as an unknown quantity because they escape the control of the Fed and other financial institutions, risk eroding margins on monetary transactions, and foster even more opaque mechanisms for wealth transfers for the benefit of illicit gains.
