Every month our financial marketing agency, rounds up the top regulatory announcements and compliance changes to ensure our clients stay informed. Here’s our financial regulations roundup for August 2025.
Donald Trump Signs the GENIUS Act
The biggest regulatory story in July was that Donald Trump signed the GENIUS Act into law during the “Crypto Week”. The GENIUS Act is to regulate the stablecoin industry, which is worth over $250 billion.
It introduced new provisions on issuer requirements, reserve requirements, consumer protections, insolvency provisions, and compliance. For example, the bill mandated that all USD stablecoins in the US be backed by the US dollar and short-term government bonds.
The bill also allowed small issuers with less than $10 billion in assets to opt to state-level regulations. Also, all stablecoin issuers are mandated to comply with the Bank Secrecy Act. In a statement during the signing, Trump said:
The GENIUS Act is going to make America the undisputed Leader in Digital Assets — Nobody will do it better, it is pure GENIUS! Digital Assets are the future, and our Nation is going to own it. We are talking about MASSIVE Investment, and Big Innovation.
During “Crypto Week” officials also debated a bill to ban Central Bank Digital Currencies (CBDC) and another one to separate the roles between the SEC and the CFTC in crypto regulations.
SEC Launches Project Crypto
The other notable regulatory story in July is that the SEC launched Project Crypto, an initiative to modernise securities rules and regulations to allow for crypto-based trading. In particular, Paul Atkins focused on moving markets from off-chain to on-chain. He said:
Federal securities laws have always assumed the involvement of intermediaries that require regulation, but this does not mean that we should interpose intermediaries for the sake of forcing intermediation where the markets can function without them.
The announcement came as American companies are embracing the blockchain industry. Coinbase is planning to offer tokenised stocks to its customers, while Robinhood has launched tokenised stocks in Europe.
FCA to Allow Retail Access to Retail ETNs
Meanwhile, in the UK, the Financial Conduct Authority (FCA) said that it was opening up retail access to crypto exchange-traded notes (cETNs). The agency noted that firms offering these products will need to comply with the sweeping Consumer Duty regulations. David Geale, an FCA official said:
Since we restricted retail access to cETNs, the market has evolved, and products have become more mainstream and better understood. In light of this, we’re providing consumers with more choice, while ensuring there are protections in place.
Like the United States, the UK is working to encourage crypto companies to invest in the country. It is doing that by streamlining regulations and focusing on consumer protections.
FCA to Help BNBL Customers With Key Provisions
Another top regulatory news was on the fast-growing Buy Now Pay Later (BNPL) industry. In a statement, the FCA said that it would unveil key protections for customers in an industry that has attracted millions of customers in the country.
For example, it will require lenders to check whether people can afford BNPL loans. Borrowers will also be able to complain to the Financial Ombudsman Service if anything goes wrong. Sarah Pritchard, the deputy chief executive at the FCA, said:
We have long called for BNPL products to be brought into our remit, so people can benefit from BNPL while being protected. Our regulation will help consumers navigate their financial lives, with checks on whether they can afford to repay.
AMF and ACPR Publish Responses on Smart Contract Certification
In France, the Autorité des Marchés Financiers (AMF) and Autorité de contrôle prudentiel et de résolution (ACPR) published the summary of responses to the public consultation conducted by the Working Group on the certification of smart contracts in decentralised finance (DeFi). The working group was made up of players in the crypto industry as well as technical experts and regulators. It addressed key areas like standards, audit, and regulatory avenues.
The responses came at a time when decentralised finance (DeFi) has become a major sector with over $270 billion in assets.
Trump to Open Retirement Market to Crypto Investments
In other notable regulatory news, Donald Trump is considering allowing US retirement funds to invest in the cryptocurrency industry. This will be a major change that will unlock billions of dollars to crypto assets like Bitcoin and Ethereum.
The friendly regulations in the US have pushed companies like Grayscale and Circle to launch their Initial Public Offerings. Others like Kraken, Gemini, and Bullish have filed to go public.
HKMA Launches Stablecoin Regulations
In Hong Kong, the financial regulator unveiled new rules to govern stablecoin issuers as the city step up actions to fit in. The new rules will supervise the issuance of stablecoins designed to match the price of the Hong Kong dollar. In a note, a Morgan Stanley analyst said:
Stablecoins can lower some of the transaction costs and help improve payment efficiency in cross-border settlement. The stablecoin market in Hong Kong is still in its early stages. We think the progress and developments will be gradual.
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