GENIUS Act Blocks Big Tech From Dominating Stablecoins: Circle Exec

The Genius Act contains a little incited clause that prevents giants from technology and Wall Street giants from dominating the Stablescoin market, according to Circle’s strategy director Dante Départe.

“The Genius Act has what I would like to call – just for my own heritage – a balance clause,” said Podcast Unchained on Saturday. Any bank who wants to experience a pointed token in dollars must run “an autonomous entity that more like a circle and less to a bank”, to Claire antitrust obstacles and to face a committee of the cash department with a veto right on the launch.

Banks do not get a free pass. Landers who issue a stablecoin must house it in a legally separate subsidiary and keep the parts on a balance sheet which has “no risk taking, no lever effect, no loans”, noted disappeared.

This structure is even “more conservative” than the Tokeking Deposit models than JPMorgan and others have floated. “This creates clear rules that I think in the end, the greatest winners are American consumers and market players and frankly the dollar itself,” he added.

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The act of engineering passes with bipartite support

Adopted last week with more than 300 votes to the House, including the support of 102 democrats, the Fire Law “National Innovation for US Stablecoins (Genius) gives the fire power” based on rules “in the global race of the digital currency.

“The crypto finally gets what it wanted: legitimization, a path for legal and regulatory clarity in the United States and an opportunity to compete,” he said.

The bill preserves the patchwork of the laws on the transmitters of money from states for issuers under a threshold of $ 10 billion, but requires a national trust charter once the assets have violated this level.

In particular, the law prohibits the stables of interest, pushes rigorous disclosure standards and introduces criminal sanctions for “stable” non -sustained tokens. Terra experiences have “disappeared,” said disappeared.

However, criticism argues that the prohibition of return could hide the adoption of consumers and give an advantage to transmitters abroad. Disappearing said that “is a secondary market innovation” better delivered by decentralized financing protocols once the base layer is solid.

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Defi wins Edge as engineering prohibitions make yields

The prohibition of the law on engineering engineering could redirect investors’ demand to decentralized financing platforms (DEFI) based on Ethereum.

According to analysts like Nic Puckrin and Christopher Perkins, analysts like Nic Puckrin and Christopher Perkins, who predicted that “the summer of Stablecoin” could now evolve towards “Defi Summer”.