Bitcoin Soars Past $110K Amid US Crypto Bill

Bitcoin Soars Past $110K Amid US Crypto Bill

Why in the News?

Bitcoin reached an all-time high of $110,000 after the US Senate advanced the GENIUS Act, a bipartisan crypto regulation bill. The legislation focuses on stablecoin regulation, boosting investor confidence and signaling a pro-crypto shift in US policy.

Bitcoin Soars Past $110K Amid US Crypto Bill

Impact on Bitcoin and Market Confidence:

  • Bitcoin had earlier declined due to Trump’s tariff threats, causing geopolitical tensions.
  • Post events like the US-China trade deal, market confidence improved.
  • The GENIUS Act further boosted sentiment by offering regulatory clarity, pushing Bitcoin past $110,000.
  • Trump and Melania’s involvement in meme coins added political interest to the crypto market.

Criticism and Controversy

  • Critics like Senator Elizabeth Warren argue the bill lacks consumer protections, may enable illicit use, and could benefit Trump’s personal crypto interests.
  • Concerns were raised over Big Tech’s role, with loopholes allowing them to enter the banking space, threatening financial stability and privacy.
  • The bill is seen by some as rewarding Trump coin buyers with unfair political advantages.

What is the GENIUS Act?
– The Guiding and Establishing National Innovation for US Stablecoins (GENIUS) Act focuses on regulating stablecoins, which are cryptocurrencies pegged to stable assets like the US dollar.
– It requires issuers to follow anti-money laundering (AML) and anti-terrorism regulations.
– Stablecoins must be fully backed 1:1 by fiat currency or high-quality liquid assets.
– Issuers must separate reserves from operational funds, disclose them publicly, and undergo third-party audits.
– Tech companies may issue stablecoins but need regulatory approval first.

The GENIUS Act regulation is seen as a significant step towards mainstream adoption of cryptocurrencies, potentially paving the way for more Bitcoin all-time high records in the future.