The Crypto Laws Are Coming

Long-awaited laws covering cryptocurrency & digital assets are finally on the horizon. Here's what to expect and what they mean.

The GENIUS Act: Stablecoins Get a VIP Pass

Stablecoins - digital assets pegged to the dollar - are about to get their own rulebook. The Guiding and Establishing National Innovation for U.S. Stablecoins (GENIUS) Act is the brainchild of Senator Bill Hagerty (R-TN), with some big-name co-signers like Tim Scott (R-SC), Kirsten Gillibrand (D-NY), and Cynthia Lummis (R-WY). Dropped on February 4, 2025, this is all about making stablecoins legit without choking out the innovation.

Summed up:

• Only “permitted” players—like bank subsidiaries or qualified nonbanks—can issue stablecoins. If your market cap is under $10 billion, states can regulate you (if they’re okay with federal rules). Over $10 billion? The Fed and the OCC step in.

• Every stablecoin needs to be backed 1:1 with legit assets—think cash, Treasury bills, or super-safe repo deals.

• Monthly reports, audits, clear redemption policies, plus AML/KYC compliance.

Where’s It At?

On March 13, 2025, the Senate Banking Committee gave it an 18-6 thumbs-up—gotta love bipartisan backing. It’s now headed to the full Senate for a vote. Over in the House, Reps French Hill (R-AR) and Bryan Steil (R-WI) dropped a companion called the STABLE Act on February 6, 2025. Same idea, slight tweaks (no $10 billion cap, softer on algorithmic stablecoins). The plan? Mix them together and get it signed by April 2025—first 100 days of Trump’s term. Tim Scott’s hyped, and even some Dems are on board, although Elizabeth Warren’s hasn't changed her “crypto risks," song.

Why You Should Care

Stablecoins are the $230 billion glue between traditional finance and crypto—fast, cheap, and global. The GENIUS Act’s lets the U.S. remain a financial innovation hub, as well as reinforce the importance of the U.S. dollar as the world's reserve asset.

The Market Structure Bill: Crypto’s Wild West Is No More

The Market Structure bill is not one neat package like GENIUS—more like the sequel everyone’s excited for. Think of it as the blanket covering all crypto, not just stablecoins. The closest thing we’ve got is the FIT21 Act, which the House passed back in May 2024 but hit a Senate wall.

What’s Happening?

• Who Runs the Show: The SEC and CFTC are in a turf war. FIT21 tried to split it—SEC for securities-style crypto, CFTC for commodities like Bitcoin. The new bill might tweak that, and maybe even clip the SEC’s wings. Long-awaiting clarity could finally be arriving.

• The Scope: This isn't just stablecoins—it’s Bitcoin, Ethereum, DeFi, spot markets, the whole circus. Trading, custody, classification—every part of the ecosystem will potentially be deined.

• Where’s It At: No official bill’s cleared a committee yet. Cynthia Lummis hinted during the GENIUS markup that this is next up. With Trump’s crew (such as David Sacks as crypto czar) and a GOP Congress, the headwinds digital assets faced just a few months ago have become tailwinds.

Where’s It Going?

It’s still in the “let’s figure this out” phase. The Senate Banking Committee’s eyeing it post-GENIUS, and French Hill’s House team is ready to go from there.

Why It’s a Big Deal

Crypto trading’s been a free-for-all—lawsuits (or the threats of them) flying, rules fuzzy. This bill could cut the chaos, greenlight DeFi, and keep the U.S. in the global innovation game. But it’s a tougher sell than GENIUS with more players, and probably more drama.

The GENIUS Act is the quick win—stablecoins locked down, probably law by spring 2025. The Market Structure bill is the wide-ranging follow-up—wilder, messier, aiming for summer.

How will regulatory clarity make you feel about crypto and digital assets writ large? Excited, or still apprehensive?