The approval of a U.S. stablecoin bill is poised to be a landmark regulatory development in the cryptocurrency sector, potentially igniting a multi-year bull market in crypto assets, according to a report from asset manager Bitwise. The Senate's advancement of the GENIUS Act indicates that the U.S. may pass its first crypto legislation by summer 2025. This bill mandates federal regulation for stablecoins exceeding a $10 billion market cap while allowing for state regulation under certain conditions. Current stablecoin regulations lack a cohesive federal framework, which the GENIUS Act aims to provide. Following approval, Bitwise predicts significant growth in the stablecoin market, forecasting it could soar to $2.5 trillion from its current $245 billion. The most notable beneficiaries are expected to be cryptocurrencies like Ether, Solana, and decentralized finance assets like Uniswap and Aave. Matt Hougan, Bitwise's CFO, emphasized this FDA approval as potentially more impactful than prior crypto regulations, positioning it as critical for the future of the crypto ecosystem.

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