Web3 discussed federal regulations both in America and across the pond. Read more on MiCA and the GENIUS Act.
Tokenization’s watershed moment
“The GENIUS Act represents a watershed moment for RWA tokenization. While focused on stablecoins, this regulatory clarity creates the foundation for broader digital asset adoption.
“For the tokenization sector, this framework validates the thesis that the future belongs to blockchain infrastructure designed with compliance from the ground up. The Act’s emphasis on proper reserves, auditing, and regulatory oversight sets the standard for what institutional-grade digital asset platforms must deliver.
“With clearer guidance on stablecoins, the Act de-risks the use of digital dollars in tokenized ecosystems, making it far easier to build compliant RWA platforms with embedded on-chain settlements. This is critical for sectors like real estate, trade finance, and sukuk issuance.
“Most importantly, this opens the floodgates for institutional adoption. When traditional financial institutions have clear rules for digital assets, tokenization accelerates from billions to trillions. The GENIUS Act isn’t just about stablecoins—it’s the regulatory foundation that will enable the next phase of RWA growth, particularly in Islamic finance markets where compliance and ethical standards are non-negotiable.”
– Abdul Rafay Gadit, founder, ZIGChain
STABLE Act = Clarity
“The passing of the GENIUS ACT is a pivotal shift in crypto regulations as it pertains to stablecoins, providing some much-needed clarity for potential issuers. Major banks, fintech firms have clearly defined guardrails and guidelines on reserve and transparency requirements.
“This would speed up the integration of stablecoins’ (move) into everyday finance, enabling faster payments and settlements, under proper supervision. I wouldn’t be surprised to see more resources, capital, and firms getting into the stablecoin payments space.
“Ultimately, a robust set of regulations will bridge crypto with TradFi and drive the private sector innovation under proper oversight. Overall, it’s a great move to establish a leading position in this relatively new market and alleviate the selling pressure on US Treasuries at the same time. We’ve seen a wave of institutions announcing their stables. This is going to be a hot space for the next couple of years.”
– Chuck Zhang, CFO of PolyFlow, a PayFi protocol linking Real World Assets with DeFi
Clarity gives green light to infrastructure builders
“The Senate passing the GENIUS Act this week gives expression to growing legislative alignment on digital asset innovation and oversight. As the first federal framework for dollar-pegged stablecoins, granting broad oversight authority to the Treasury, it’s a watershed moment for the crypto sector. The Act’s recognition of banks, fintechs and retailers as potential issuers demonstrates the sheer scale of institutional interest the industry is experiencing. Ultimately, this legislation provides the clarity needed to build infrastructure that supports regulated stablecoins at scale, reinforcing the role of blockchain in real-world financial applications.”
– Blake Jeong, Co-CEO of IOST, the platform building ultra-high TPS blockchain infrastructure
MiCA provides structure for crypto players
“Regulations attract major players to the market. MiCA, for instance, imposes limitations, but they’re necessary for crypto to go mainstream. However, we’re already seeing one major systemic drawback of MiCA: if you wanted to start a crypto business from scratch today, MiCA makes that impossible. The directive’s requirements can only be met by large, established players. So, the resolution has eliminated my competition. MiCA cements and consolidates the market.
“What MiCA does offer is a level playing field. Until now, any exchange in Europe could choose the “softest” jurisdiction and compete on cost rather than quality. Now, everyone must meet the same security standards, so users benefit.”
– zondacrypto CEO Przemysław Kral