Treasury Department

The U.S. Federal Reserve has proposed rules to implement key parts of the GENIUS Act, including standards for stablecoin issuers, bank issuance procedures, reserves, and rewards programs. The proposals enter a public comment phase as federal agencies continue building the regulatory framework for U.S. stablecoins.

Washington is considering a plan to promote dollar-backed stablecoins overseas through partnerships with private companies. The strategy could increase demand for U.S. Treasuries while raising concerns over capital flight and pressure on emerging-market currencies.

White House and Treasury officials are signaling that the Digital Asset Market Clarity Act may not be the near-term driver of U.S. crypto policy. With Congress facing a lame duck session after the elections, regulatory agencies are now carrying much of the industry’s rulemaking momentum.

The U.S. 10-year Treasury yield rose to 4.856% as long-term borrowing costs continued to climb despite a $6 billion Treasury buyback operation. Debt concerns, WTI crude near $97 and currency intervention dynamics around the yen are adding pressure across global markets, including bitcoin.

Bitcoin is hovering near $80,000 after a sharp ten-day advance tied to easing pressure in long-term bond markets. Traders are now focused on Fed Chair Kevin Warsh’s Jackson Hole remarks for signals on inflation, rates, liquidity and crypto policy.

Ethereum has pushed through the $2,000 level after a sharp short squeeze and a strong wave of ETF buying. Technical traders are now watching $2,750 as the key breakout zone that could open a path toward $3,300.

Bitcoin briefly climbed to $70,000 on Wednesday, reaching that level for the first time in 11 weeks before easing back. The rally was supported by improving liquidity expectations, renewed focus on U.S. crypto legislation and a technical break watched by traders.

The Clarity Act has missed a key Senate window, raising doubts over whether a comprehensive U.S. crypto market structure law can pass this year. Even so, regulators and banking agencies are already advancing policies that could shape digital asset oversight without a new statute.

The Digital Asset Market Clarity Act is drawing fresh scrutiny from critics who warn about national security risks. Supporters argue the bill would bring digital asset firms deeper into compliance frameworks and give investigators stronger tools to disrupt illicit finance.

The White House says the administration is still evaluating how to structure a federal Strategic Bitcoin Reserve and a separate U.S. Digital Asset Stockpile. The effort remains dependent on unresolved agency decisions and potential congressional backing.

A group of senators is urging the Treasury Department to give states a clear process to demonstrate that their stablecoin oversight matches federal standards. The push centers on ensuring the GENIUS Act does not sideline state regulators.