GENIUS Act Passes: U.S. Sets Federal Stablecoin Rules

- Landmark legislation establishes a stablecoin regulatory framework in the U.S. - Experts call for similar clarity for decentralized physical infrastructure networks (DePIN). The United States Congress has enacted the Guiding and Establishing National Innovation for U.S. Stablecoins (GENIUS) Act. On July 29, 2025, Cointelegraph reported that this act creates the country’s first federal framework for stablecoin regulation. Signed into law on July 18, 2025, the act targets payment stablecoins that maintain a one-to-one peg with fiat currencies and offers long-sought legal certainty for issuers and users in this growing sector. The GENIUS Act includes several key provisions. It mandates that issuers back payment stablecoins on at least a one-to-one basis with highly liquid assets, such as cash or short-term U.S. Treasuries. To enhance transparency, the act requires monthly public reporting on reserve composition. The law also resolves ambiguity by ensuring that approved stablecoin products are not classified as securities or commodities, a move that streamlines regulatory oversight and promotes industry confidence. This federal benchmark represents a major step toward integrating digital assets into the broader financial system. Now, attention is shifting to the decentralized physical infrastructure networks (DePIN) sector, and many wonder if it will receive a similar regulatory framework. In a Cointelegraph opinion piece, Aaron Basi, head of product at IoTeX, highlighted the growing need for federal-level clarity in this emerging space. DePIN networks leverage community-owned hardware, such as antennas and sensors, to provide decentralized services like wireless connectivity and data storage. These networks currently face significant regulatory uncertainty, as key issues include data ownership, user compensation, and governance structures that existing legal frameworks for telecommunications or cloud services do not easily address. Basi called for regulatory action to define classifications for DePIN protocols, urging officials to enforce standards for data privacy and ownership while also promoting transparent governance and reward systems. He argued that such comprehensive legal guidelines could spur investment and foster trust in decentralized infrastructure solutions, much as the GENIUS Act aims to do for stablecoins. According to market data on July 29 at 16:13 UTC, IoTeX (IOTX), a blockchain platform that supports DePIN ecosystems, is trading at $0.022. This price reflects a 3.849% drop in its 24-hour trading volume.