Genius Act: US Treasury Launches Consultation on 4 Key Technologies

The US Department of the Treasury opens a public comment period until October 17, 2025, to assess cutting-edge technologies in the fight against money laundering and sanctions evasion. This approach is directly part of the implementation of the Genius Act, the historic legislation signed by Donald Trump that revolutionizes the regulation of stablecoins. But which technologies are US authorities really scrutinizing?

A strategic consultation to regulate the crypto ecosystem

On August 18, 2025, the US Department of the Treasury officially launched a 60-day public consultation period. This initiative directly stems from the Genius Act, the historic text enacted by President Trump last July 18.

The goal is clear: identify the best technologies to fight illicit activities in the digital assets universe.

The consultation focuses on four key technologies:

• Application Programming Interfaces (API): These systems will allow automatic sharing of compliance data between financial institutions and facilitate real-time transactions monitoring.
• Artificial intelligence: This technology will analyze huge volumes of blockchain transactions to detect suspicious patterns and identify complex criminal networks.
• Digital identity verification: These tools will revolutionize user identification, including in the DeFi ecosystem, by simplifying verification procedures.
• Blockchain surveillance: This approach will combine public data and private information to efficiently track illicit financial flows.

This approach is also part of the pro-crypto strategy of the Trump administration. In fact, the executive order of January 23, 2025, had already created a presidential task force on digital assets. Its recommendations from July 30 precisely advocated improving digital identity tools and information sharing between the public and private sectors.

Major stakes for the stablecoins ecosystem

This consultation reveals a clear ambition: to make the United States the global leader in smart crypto regulation. 

Issuers of stablecoins are now treated like traditional financial institutions. They must comply with all federal anti-money laundering laws and submit to customer verification obligations.

The Treasury identifies several priority threats that these technologies must combat:

• Drug traffickers and fraudsters
• Ransomware attackers
• Terrorist financiers
• Iran sanctions evasions
• North Korean cybercriminals

This technological revolution nevertheless presents significant challenges. The Treasury recognizes that innovative tools can impose new resource burdens due to acquisition and integration costs. 

Institutions will thus have to develop sharp technical expertise while managing unprecedented cybersecurity and privacy risks.

The consultation will evaluate each technology according to seven criteria defined by the Genius Act law:

• Improvement of detection capability
• Implementation costs for institutions
• Quantity and sensitivity of collected data
• Privacy risks
• Operational and efficiency challenges
• Cybersecurity risks
• Effectiveness against illicit financing

The Treasury is particularly looking for regulatory obstacles that slow the adoption of these technologies. The goal is to identify government measures required to facilitate their effective deployment.

In short, beyond the technical aspect, this consultation symbolizes the new American approach towards crypto. Washington no longer wants to endure innovations: it wants to anticipate them, regulate them and turn them into a strategic lever. A shift that could well redefine the global balance of power in digital finance.