The U.S. stablecoin law created a government-backed alternative to Bitcoin, triggering a repricing of its monetary premium since July 18, 2025.
Bitcoin underperformed gold by nearly 100% since July 18, 2025, following the passage of the GENIUS Act. The legislation regulated stablecoins with 100% reserves in U.S. dollars or Treasuries, offering a government-sanctioned alternative to Bitcoin’s monetary use case.
Analysts noted the divergence occurred despite similar macroeconomic conditions, challenging explanations tied to market cycles or sentiment. Gold’s resilience contrasted with Bitcoin’s decline, suggesting structural shifts rather than temporary factors.
The Act’s impact reflects a broader repricing of Bitcoin’s perceived value as a monetary asset, particularly among institutional investors seeking regulatory clarity.