GENIUS loophole fit shift $6.6T go Yield Stablecoins
US bank groups wey Bank Policy Institute (BPI) dey lead and wey American Bankers Association support dey beg Congress make dem close one loophole for the GENIUS Act wey dey allow crypto exchanges and related issuers dey offer interest-bearing stablecoins. Dem warn say if dis gap still dey, e fit cause up to $6.6 trillion to move from traditional bank deposits go yield-bearing stablecoins, wey go weak bank dem core lending power and overall financial stability. Stablecoins dey now account for $280 billion of the $22 trillion US money supply, with USDT and USDC holding over 80% market share. Unlike bank deposits or money market funds, stablecoin issuers no dey fund yields through loans or securities, wey dey increase liquidity risks during economic stress. US Treasury project say stablecoin sector fit grow to $2 trillion by 2028, wey go increase systemic vulnerabilities unless dem close the regulatory gaps.
Bearish
Dis news dey show say regulator fit clamp down to close di stablecoin yield loophole weh dey inside di GENIUS Act, e go cause judgement dey uncertain about interest-bearing stablecoins. If di loophole close, demand for stablecoin product weh dey pay yield fit drop sharp sharp, e mean say dem go print less and less people go dey use am. For short term, trading volume and market feeling for these stablecoins fit soft; for long term, better law fit stop sector growth as dem dey expect, and all of these things fit put pressure to reduce stablecoin value.