It has been estimated that the influence of the dollar will also expand with the implementation of the 'Genius Act,' which establishes a framework for the regulation of stablecoins in the United States.
Lee Byung-kwan, Director General of the Korean Financial Research Institute, noted in a report on the 20th titled 'The United States' Movement Toward Full-scale Issuance of Stablecoins and Its Implications' that the U.S. President Donald Trump approved the Genius Act on the 18th (local time). The Genius Act regards stablecoins for payment settlement as digital assets issued at a predetermined fixed price.
According to the Genius Act, stablecoins for payment settlement can be issued by banks, credit unions, and non-bank entities, and these issuers must register with federal regulatory authorities. Issuers are required to establish and disclose a redemption process for stablecoins, and must report the outstanding issuance and composition of reserve assets monthly.
Reserve assets are limited to high-security assets such as cash, deposits, and government bonds maturing within 93 days, and the reserve assets for stablecoins issued and circulated within the United States must, in principle, be composed of U.S. dollar-denominated assets. Director General Lee Byung-kwan stated, "The implementation of the Genius Act will change the landscape of stablecoins and may expand the influence of the U.S. dollar."
It is expected that there will be significant participation not only from individuals but also from institutional investors and large banks, and as a result, analyses suggest that the circulation of stablecoins, which use U.S. dollars as reserve assets, will increase rapidly.
Meanwhile, Tether (USDT), which currently has the largest issuance and transaction volume in the stablecoin market, may have difficulty obtaining approval in the United States due to the composition of its reserve assets. Tether is currently managing a portion of its reserve assets in precious metals and Bitcoin. The report predicted that as the circulation of stablecoins expands, the demand and supply for financial services deployed on the blockchain could also increase.