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Crypto Week Looms: A Look at Incoming Digital Asset Legislation

Crypto Week Looms

Now that the July 4th holiday has passed and President Donald Trump’s controversial ‘Big Beautiful Bill’ has been passed into law, Wall Street investors are preparing for one last week of action from Washington, D.C. before Congress takes a three-week hiatus and the summer doldrums kick in. Next week will kick-start what the Republican-led US House of Representatives dubs ‘Crypto Week.’ During ‘Crypto Week,’ the US House of Representatives will consider three digital asset bills, including:

·       The Genius Act: GENIUS, which stans for ‘Guiding and Establishing National Innovation for US Stablecoins Act) will aim to put a regulatory framework around stablecoins for the first time in US history.

·       The CLARITY Act: This act aims to establish a comprehensive regulatory framework for digital assets by defining the boundaries between the Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC).

·       The Anti-CBDC Surveillance Act: Seeks to prevent the Federal Reserve from creating and issuing a central bank digital currency (CBDC).

Should the GENIUS and CLARITY Act legislation pass, it would be a welcome sign for crypto companies. Until now, digital asset regulations have either been non-existent, unclear, or conflicting.

How Likely is it that ‘Crypto Week’ Legislation Passes?

Oversees betting market Polymarket gives The GENIUS Act a 91% chance of passing and The CLARITY Act a 54% chance (at the time of this writing.

Stocks to Buy into Crypto Week

If you believe the GENIUS Act will pass, the two stocks that will benefit the most are Circle Group ((CRCL - Free Report) ) and Coinbase Global ((COIN - Free Report) ). COIN and CRCL manage USDC, the second-largest stablecoin. That said, COIN is the more attractive stock from a relative perspective. CRCL has a market cap of $45 billion, while COIN has a market cap double that. However, COIN’s USDC revenue (which has a 50/50 revenue split partnership with CRCL) only comprises ~15% of its business, while CRCL’s USDC revenue makes up nearly 100% of its revenue.

Additionally, COIN shares are positioned in an explosive-looking daily bull flag base structure.

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Image Source: TradingView

Meanwhile, any crypto legislation that passes will likely be bullish for Bitcoin proxies, such as Strategy ((MSTR - Free Report) ), iShares Bitcoin Trust ETF ((IBIT - Free Report) ), and the ARK Bitcoin ETF ((ARKB - Free Report) ).

Bottom Line

As Crypto Week approaches, the eyes of the digital asset world will be fixed on Washington DC. The potential passage of the GENIUS and CLARITY Acts could mark a pivotal shift for the crypto industry, ushering in long-awaited regulatory clarity.

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