Altcoins 'rise may be closer than expected: GENIUS Act rules resonate with bull market signals, foc

The U.S. Treasury Department issued formal rules for stablecoins under the GENIUS Act, with the industry transition period until 2028.

The U.S. Treasury Department proposed formal stablecoins under the GENIUS Act on August 17, and the consultation period is open until October 19, 2026. The mandatory licensing system for stablecoin issuers will be launched on January 18, 2027, while the platform's full compliance requirements will need to be completed by July 2028.

The five tokens, UNI, HBAR, GIGA, ALGO and NOT, have varying sensitivities to this regulatory shift, and their impact covers multiple areas such as payment infrastructure and community-driven transaction activities.

This week, the U.S. Treasury Department took a step towards finalizing rules for regulating the country's stablecoin. The Treasury Department has issued a formal proposal detailing how to implement Section 3 of the GENIUS Act-which sets reserve and licensing requirements for payment stablecoins. The announcement comes as some altcoin markets are looking for new catalysts.

The proposal clarifies which entities issue or provide stablecoins in the United States, a definition that is particularly important for tokens created by overseas companies. Under the GENIUS Act, issuers must hold the equivalent of one dollar of reserve for every dollar of stablecoin in circulation and, starting in 2027, will need to obtain federal or state licenses to operate legally in the United States. By July 2028, platforms will only allow stablecoins from licensed issuers, which provides the industry with an adjustment period of approximately two years. The rule does not classify stablecoins as securities, so they are not subject to regular regulation by the U.S. Securities and Exchange Commission, but are included in a payment-centered regulatory framework. Finance Minister Scott Bessant said the department was moving quickly towards the implementation of the framework. At the same time, Congress is also considering a separate CLARITY Act, which could still reshape parts of this regulatory landscape before final rules are determined.

Historically, such signals have often been accompanied by a rebound in interest in the altcoin market, especially tokens related to payments, decentralized exchanges and cross-chain activities. While this does not guarantee a market rise, it does remove some of the uncertainty that has kept some traders on the sidelines this year.

Uniswap (UNI): Decentralized Trading Platform

Uniswap hosts one of the largest decentralized exchanges in the cryptocurrency space, allowing users to trade without having to deposit tokens on a centralized exchange. It does not rely on order books and has processed a considerable proportion of on-chain transactions since its launch in 2018. Any regulatory rule that clarifies the legal status and convertibility of stablecoins will have a direct impact on Uniswap's core business-it is the intermediate link for the flow of tokens between wallets and exchanges.

Hedera (HBAR): Enterprise ledger

Unlike blockchain-based architecture, Hedera's developers claim that it runs on a hashmap system that enables faster final confirmation of transactions and saves energy. Hedera is known for serving large companies and institutions rather than simply pursuing retail transaction volume, and its partners cover multiple areas such as banking, supply chain and digital identity. Proponents point out that unlike other networks run by a single team, Hedera is co-managed by a board of directors composed of major companies, making it more stable when used by companies. HBAR is a token used to pay for Hedera's network services and transaction fees.

Gigachad (GIGA): Meme-driven trading

Gigachad's name and image have nothing to do with the specific function of the token, but the difference is precisely that it originates from a popular Internet meme. Like many memos, its value depends mainly on community activity, social media attention and short-term trading behavior, and there is no specific product or actual use case. When the market pays high attention to these tokens-such as when the overall sentiment in the altcoin market changes-such tokens tend to experience sharp price fluctuations.

Algorand (ALGO): Focus on payments

Algorand is a first-level blockchain built from scratch designed for fast and low-cost transactions, thus attracting many payment-related projects and financial technology companies. Its consensus mechanism is called pure proof of stake and aims to provide an energy-saving and efficient way of operating blockchain that previous models cannot achieve. Algorand has also been deeply involved in real-world asset tokenization and central bank digital currency pilot projects in multiple countries. Given ALGO's close connection to the payment and settlement space, the new federal payment rules are particularly important for its network partners in terms of compliance.

Notcoin (NOT): From the birth of Telegram

Notcoin was born at the end of 2023 as a simple and direct "click-to-earn" game, running entirely in the Telegram instant messaging application. Players collect points by clicking on virtual coins and receive rewards before the tokens are officially launched. Thanks to Telegram's built-in social features, the game quickly became popular and attracted millions of users who had little previous experience with cryptocurrency. After the token was issued, Notcoin began to build a broader ecosystem on the TON blockchain-TON is also used for other cryptocurrency-related functions of Telegram. NOT is always closely associated with retail and community-driven transactions, rather than institutional or enterprise-level transactions.