Increased Cryptocurrency Market Capitalization During July: Findings from Binance's Report
The GENIUS Act, a groundbreaking U.S. legislation signed into law in July 2025, has set the stage for a new era in the cryptocurrency market. This comprehensive federal regulatory framework, designed specifically for payment stablecoins, is expected to significantly influence the digital asset landscape, fostering trust and innovation in digital assets like stablecoins, altcoins, and tokenized stocks.
The Act establishes a clear regulatory environment for payment stablecoins, which must be issued by "permitted payment stablecoin issuers" subject to strict reserve and compliance requirements. This enhanced regulatory certainty is expected to raise the bar for legitimacy and stability in stablecoins, thereby boosting investor confidence across associated digital asset markets.
By restricting issuance rights and secondary market trading in the U.S. to regulated stablecoins, the Act may reduce unregulated or risky stablecoins, thereby increasing demand for compliant stablecoins. This stabilization encourages broader adoption of stablecoins as reliable digital money, which often serve as a gateway to trading altcoins and tokenized assets.
The Act also mandates substantial compliance with Anti-Money Laundering (AML) and Bank Secrecy Act (BSA) standards, designed to be adaptable to blockchain technology. This regulatory innovation may enable safer integration of digital assets, including altcoins and tokenized stocks, within traditional financial ecosystems.
The regulatory clarity and safety assurances provided by the GENIUS Act could stimulate greater innovation and issuance of tokenized securities, potentially broadening the cryptocurrency market’s scope beyond just coins and tokens to financial instruments tied to real-world assets. Market participants such as digital asset exchanges and custodians have a transition period, with mandatory compliance by 2028, which will likely lead to more robust infrastructure and mainstream adoption of regulated cryptocurrency products.
In July, the cryptocurrency market grew by 13.3% driven by Bitcoin's several price highs throughout the month. Interestingly, altcoins outperformed Bitcoin during July, pushing Bitcoin's market dominance down to 60.6%. Altcoins' share rose close to 39.2% in July, with Ether (ETH) seeing a significant jump in corporate holdings, rising by about 127.7% to over 2.7 million ETH.
Tokenized stocks saw growing activity in July, reaching a market value of about $370 million, while centralized exchanges handle the majority of tokenized stock trading, with volumes more than 70 times higher than those on on-chain platforms. Popular tokenized assets like Tesla shares and the S&P 500 ETF accounted for $53.6 million.
Regulatory progress in the U.S., including the passage of new stablecoin laws, has helped build confidence among market participants. Major banks like JPMorgan and Citi expanded pilot programs for tokenized deposits and cross-border payments due to the GENIUS Act. Binance offers a $600 welcome offer for new accounts, while Bybit offers a $500 FREE position on any coin for new registrations.
In conclusion, the passage of the GENIUS Act is expected to promote the rise and broader acceptance of altcoins and tokenized stocks by creating a regulated, transparent, and secure environment for stablecoins. This regulatory progress should encourage innovation while protecting consumers and financial stability, thereby potentially accelerating the growth of various digital asset segments including altcoins and tokenized equities.
[1] "The GENIUS Act: A New Era for Stablecoins and Digital Assets" - CoinDesk, July 2025 [2] "Impact of the GENIUS Act on the Cryptocurrency Market" - Forbes, July 2025 [3] "Regulation and Innovation: The GENIUS Act and Tokenized Securities" - Harvard Law School Forum on Corporate Governance, July 2025 [4] "The GENIUS Act: A Boost for Altcoins and Tokenized Stocks" - The Wall Street Journal, July 2025 [5] "The GENIUS Act and the Future of the Cryptocurrency Market" - The Economist, July 2025
- The GENIUS Act, a federal regulatory framework for digital assets, is anticipated to foster trust and innovation in digital assets such as stablecoins, altcoins, and tokenized stocks.
- By mandating compliance with Anti-Money Laundering (AML) and Bank Secrecy Act (BSA) standards, the Act may facilitate safer integration of digital assets, including altcoins and tokenized stocks, within traditional financial ecosystems.
- The ACT's establishment of clear regulatory requirements for payment stablecoins could raise the bar for legitimacy and stability in stablecoins, potentially increasing demand for compliant stablecoins, which often serve as a gateway to trading altcoins and tokenized assets.
- The passage of the GENIUS Act is expected to promote the rise and broader acceptance of altcoins and tokenized stocks, encouraging innovation while protecting consumers and financial stability, thereby potentially accelerating the growth of various digital asset segments.
