Changes to GENIUS Act May Undermine USD Competitiveness
Written by Ohris M. Greyoon, Blockchain & Crypto Expert
- Increased Competitive Pressure: The Blockchain Association claims that community banks' push to ban stablecoin issuers from offering yields through third parties is a last-ditch effort by big banks to block competition, potentially undermining the global position of the USD.
- Legislative Risks: Prominent lawyer John Deaton warns that significant changes to the GENIUS Act could become a national security trap, incentivizing the use of China's digital yuan and further threatening the dominance of the USD.
- Market Reactions: Crypto industry executives, including Galaxy Digital CEO Mike Novogratz, express frustration, stating that reversing the law's rewards provisions would be foolish and emphasizing that innovation is key to competing effectively.
- Concerns from Traditional Financial Institutions: The Blockchain Association highlights that the adoption of stablecoins has not threatened traditional financial institutions, but rather low-yield bank accounts primarily benefit large banks, indicating resistance to emerging competition.
About the author
Ohris M. Greyoon
Ohris M. Greyoon holds a Master’s in Computer Science from MIT and has 10 years of experience in blockchain technology and cryptocurrency markets. A pioneer in decentralized finance (DeFi) analysis, he leads Intellectia’s Crypto News, offering cutting-edge insights into digital assets.
