On 17th July, 2025, President Donald Trump signed the GENIUS Act into law, a move that has been hailed as a milestone for United States (U.S.) leadership in the crypto industry. During the signing ceremony, President Trump declared,

 “I pledged that we would bring back American liberty and leadership and make the United States the crypto capital of the world, and that’s what we’ve done.” 

This statement reinstates the commitment of his administration to positioning the U.S. at the forefront of digital asset innovation.

The GENIUS Act, formally known as the Guiding and Establishing National Innovation for U.S. Stablecoins Act, introduces a regulatory framework that aims to “establish and unleash the immense promise of dollar-backed stablecoins,” in the words of the President. 

This framework is expected to drive broader adoption of stablecoins, with potential benefits to the global financial system, including enhanced cross-border payments and digital settlement rails, as noted in a Chainalysis report from 21st May, 2025.

To better understand what the Genius Act entails, it is important to know what a stablecoin is.

Stablecoins: What They Are and Their Impact on Nigeria

A stablecoin is a cryptocurrency whose value is designed to be stable, typically by being pegged to a fiat currency like the U.S. dollar, according to JP Morgan. 

Stablecoins provide a way to save cash while reducing reliance on banking institutions. They allow individuals and corporations to transfer assets quickly and inexpensively between regions, even during non-business hours.

According to Yellow Card’s 2025 report on the state of Digital Asset Regulations in Africa, Nigeria is ranked as the top country in the adoption of stablecoin and second globally in overall digital assets usage.

Nine other African countries also made it into the global top 50 in digital asset adoption. They are Ethiopia (26th), Morocco (27th), Kenya (28th), South Africa (30th), Uganda (34th), Algeria (43rd), Egypt (44th), Ghana (46th) and Democratic Republic of the Congo (48th).

There is also a significant detail in that report:

Nigeria’s cNGN stablecoin is listed alongside EURC (Europe), BRZ (Brazil), and CADC (Canada) as one of the key regional stablecoins to watch.

There are so many reasons for this Nigeria-owned stablecoin. With inflation, FX pressure, and a technology inclined youth population, Nigeria is one of the most active crypto markets globally. Yet most of that activity is centered around USD-based stablecoins like USDT and USDC. cNGN is offering a local alternative that is both regulated and blockchain-ready. 

Launched in February 2025 by the Africa Stablecoin Consortium, cNGN is a Naira-pegged, regulated stablecoin that offers Nigerians a blockchain-based way to move money faster and at lower cost. Unlike the eNaira, which is centrally controlled by the CBN, cNGN is a private-sector innovation. It runs on Base Blockchain, making transactions faster and cheaper, and is already live on Nigerian crypto exchanges like, Quidax and Busha.

This positions Nigeria not just as an observer but as an active player in the global stablecoin shift.

Significance of the Landmark Genius Act To Global Markets

The GENIUS Act marks a turning point for stablecoin policy and its influence may extend well beyond the U.S. As global markets take note, African Web3 builders and policymakers will be watching closely. How they respond, whether through innovation, collaboration or policy action may shape the continent’s role in the next wave of digital finance.

For African web 3 builders, this development is multifaceted. The U.S. crypto industry’s significant lobbying effort, which saw over $100 million invested in pro-crypto politicians, as reported by The New York Times on 17th July, 2025, indicates a strong push for regulatory clarity that could influence international markets. 

African entrepreneurs might benefit from increased U.S. investment, but they must also navigate a competitive economy. The Act’s focus on “clear rules on the road” and “updating archaic payment rails with a revolutionary new payment system” could inspire African policymakers to consider similar reforms, yet the continent’s diverse regulatory environments pose a challenge.

Statistics further illustrate the scale of this shift. The U.S. crypto market, already a global leader, is poised to grow exponentially with this legislative backing, potentially attracting up to 30% more global crypto startups by 2026, according to industry analysts. For Africa, where web 3 adoption is rapidly increasing, this could mean a surge in collaborative opportunities, but also a risk of being overshadowed without proactive measures.

The Landmark GENIUS Act is a reminder to African builders of the urgency to develop wide localized regulatory frameworks. 

In the words of President Trump, “The future of crypto and the crypto industry, the U.S. dollar working together, is going to be stronger, bigger, and better than ever before.”