As digital assets gain influence in global finance, they become tools for financial exchange, policy, diplomacy, and power.
The debate around cryptocurrencies intensifies as the U.S. moves toward regulating stablecoins through the GENIUS Act and President Donald Trump hosts a gala for top holders of his own memecoin.
To explore the implications, CCN’s Lorena Nessi spoke with César Miguel Rondón, veteran Venezuelan journalist and host of En Conexión, a current affairs program known for bringing in-depth analysis and expert voices from around the world, live on Éxitos FM Miami via HD 2 on May 23, 2025.
The interview was conducted in Spanish—viewers can turn on English subtitles in the YouTube settings to follow along. Here is the full video:
Are Cryptocurrencies a Threat to Traditional Finance?
That’s the core question driving the conversation. Before jumping to conclusions, it’s important to understand the types of cryptocurrencies.
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Stablecoins are designed to be tied to stable assets, usually the U.S. dollar. For every stablecoin in circulation, there should be one dollar (or equivalent) backing it. This structure is intended to prevent the extreme price swings seen with coins like Bitcoin or Ether.
Other cryptocurrencies, such as Bitcoin, function more like a store of value and can be used for digital transactions. However, they’re not inherently stable and fluctuate based on market conditions.
Memecoins vs Stablecoins: What’s the Difference?
Memecoins are an entirely different category. These are not backed by any tangible value. Instead, they rely on internet trends and the viral nature of digital communities.
Examples include coins like Dogecoin, Shiba Inu, and more recently, the Trump memecoin. Their popularity, and therefore value, is fueled by social media momentum and speculative hype.
Stablecoins, on the other hand, are typically issued by companies that claim to hold real-world assets, such as dollars or government bonds, to back their value.
However, because private companies issue them, questions arise about control and decentralization.
What Is the GENIUS Act and Why Does It Matter?
The GENIUS Act is a proposed U.S. law that aims to bring structure and oversight to the stablecoin market. Currently, companies can issue stablecoins without clearly proving they have the reserves to back them.
This bill seeks to change that by mandating transparency and defining the financial foundations required to issue a stablecoin. It’s also a geopolitical move.
While China and the EU are developing government-backed digital currencies, the U.S. is exploring the regulation of private digital assets to stay competitive.
Will the GENIUS Act Protect Cryptocurrency Investors?
It’s still unclear. The GENIUS Act focuses on stablecoins, not speculative assets like memecoins.
If a company claims it has the assets to back its stablecoin but fails to disclose where those assets are or which jurisdiction governs them, investor protection remains shaky. That’s exactly what this legislation is trying to improve.
As regulation evolves, stablecoins could offer a safer alternative to volatile cryptocurrencies—but only if properly enforced.
The Trump Coin Gala: Business or Conflict of Interest?
The gala hosted by Donald Trump for top $TRUMP coin holders has sparked debate over potential conflicts of interest. When legislation supports a digital asset, especially one owned in part by the president’s family, concerns naturally follow.
Roughly 60% to 75% of the Trump coin project is reportedly family-owned. With that level of involvement, clear and independent regulation is essential to avoid perceived misuse of public influence for private gain.
That said, the Trump administration favored a lighter regulatory approach, encouraging U.S.-based crypto projects to grow without excessive red tape, a stance aimed at boosting competitiveness globally.
Could Stablecoins Undermine the US Dollar?
Not necessarily. It depends on how the U.S. adopts and regulates the technology.
If implemented correctly, stablecoins could actually bolster the dollar’s dominance in global finance. Unlike China or the EU, which are issuing central bank digital currencies, the U.S. is leaning toward empowering private sector innovation under public oversight.
The key will be in making the right investments and crafting thoughtful regulations. The technology itself isn’t the threat; the way it’s managed will determine the outcome.
Conclusion
Cryptocurrencies are evolving rapidly, and with laws like the GENIUS Act, the U.S. is stepping into the arena with caution. Stablecoins offer promise if they’re properly regulated. Memecoins remain risky, riding waves of hype.
Whether digital assets will disrupt or support the financial system depends not just on innovation, but on oversight, transparency, and trust.
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