Ripple Advocate Deaton Deaton Names USDC, RLUSD, and Ethereum as winners of genius acts

Ripple Advocate and Pro Crypto lawyer John Deaton recently highlighted the new beneficiaries of the Genius Law, naming Circle (USDC issuer), Ripple (RLUSD issuer), and Ethereum (ETH).

Deaton said in X that many hope that Circle and Ripple will benefit from the law, but he emphasized that Ethereum could possibly appear as the biggest winner. He pointed to the efforts of people like Fundstrat and Ethereum co-founder Joseph Lubin.

Deaton also acknowledged the growing interest from Tether’s Paolo Ardoino, referring to a potential US-based Stablecoin variant.

The comment came as a response to Nate Gelachi’s reaction to CNBC, which calls Ethereum the “invisible backbone of Wall Street.”

Procrypt Method

Genius Law marks a groundbreaking moment for the US crypto industry, especially for Stubcoin. This introduces a clear federal regulatory framework aimed at bringing legitimacy, transparency and oversight to stablecoins in Fiat.

The Act requires the issuer to maintain a full one-to-one reserve, obtain a federal license, and undergo regular, independent audits. It also requires that all Stablecoin issuers comply with bank secret laws, enforce money laundering anti-money laundering (AML) and force terrorism (CFT) protocol responses.

Specifically, the law provides that only federally approved entities, such as insured depository agencies, credit unions and non-qualified non-banking institutions, can issue stable coins.

Backing stubcoins must consist of physical cash, US Treasury bills, and other low-risk assets, and are transparent through regular disclosure and public audits. These robust regulations aim to protect consumers and ensure systematic integrity as Stablecoins become more deeply integrated into the financial system.

Ethereum prices

Despite long-term commitments of regulatory clarity, Ethereum prices have been hit hard in the short term. Over the weekend, ETH fell nearly 8%, reflecting the wider volatility of the crypto market.

The decline was exacerbated by weaker US employment data than expected released by the Bureau of Labor Statistics.

The report shows that while only 73,000 jobs were added in July (it was far below forecast), previous employment increases in May and June were revised to a total of 258,000.

This overwhelming labor report caused risk-off sentiment across the market, lowering Bitcoin by 4% to $112,158, and withdrawing Ethereum and other altcoins.