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ā”ļø Whatās Happening?
The U.S. Senate has prepared a new amendment to the GENIUS Act, suggesting much tougher rules for stablecoins ā the cryptocurrencies that try to keep a fixed value (like USD).
ā”ļø Why Are They Doing This?
ā To stop stablecoin companies from claiming they are ābackedā or āapprovedā by the U.S. government.
ā To block tech companies like Meta, Amazon, and others from creating stablecoins unless they follow strict rules.
ā To protect users and avoid confusion in the market.
ā”ļø Whatās in the New Rules?
ā Tech companies must meet strong financial safety and privacy rules if they want to create stablecoins.
ā Companies canāt use words or names that might trick people into thinking the stablecoin is safe like U.S. dollars.
ā This also helps keep tech companies out of banking services unless they play by the same rules.
ā”ļø What Could Happen Next?
ā Some big companies may fight back or ask for changes.
ā Ethereum (ETH) and DeFi platforms might see changes in how people use them, depending on the new rules.
ā”ļø This is Similar to the Libra Case
The Senate is still cautious after Metaās failed Libra stablecoin project, which got blocked years ago.
They want to avoid tech firms becoming new banks without enough rules.
This could change the future of stablecoins in the U.S.
Will it slow down tech innovation or make crypto safer for users?
Share your thoughts below!
#CryptoNews #StablecoinRules $BTC