What's up, folks! 🌟 Ready for a shake-up in the world of digital finance? Imagine that the United States Congress just passed a law, the GENIUS Act, which is not only a historic milestone, but also comes with a 'Libra clause' that will be a hot topic!
It turns out that this law, which by the way was passed with overwhelming bipartisan support (more than 100 Democratic votes!), has a very clear goal: to prevent megabanks and large tech companies from taking over the stablecoin market (those cryptocurrencies that aim to maintain a stable value, like the dollar). 🛡️
Dante Disparte, a big shot at Circle, stated that if a non-bank company wants to issue a stablecoin pegged to the dollar, it will have to set up a completely separate entity, go through an antitrust examination, and even ask for permission from a Treasury committee! 🕵️♀️ And if you are a traditional bank and want to get into this, you will also have to create an independent subsidiary with very strict rules: no lending, no leverage, and zero risks! This is more conservative than anything proposed by a giant like JPMorgan. 💰
The move is to protect financial stability while modernizing payments. Boom! 💥 Although smaller stablecoin issuers (with less than 10 billion dollars in assets) will still be able to operate under state regulations, large companies will need federal authorization and will face much stricter oversight. This is a total game changer! 🔄
Furthermore, the law says goodbye to stablecoins that promise yields (goodbye projects like Terra, which gave us more than a headache! 🤕) and demands full transparency about their reserves. But, watch out! This has raised some concerns because people are wondering if this will take away the incentive for users. However, Disparte has an answer: yields should come from secondary markets, like DeFi protocols, and not directly from the stablecoin! 💡
And here comes the most interesting part: with this ban on yields, experts are already seeing that a lot of money, especially that from large institutions, is about to start flowing into decentralized financial (DeFi) platforms. Why? Because that's where the opportunities to generate passive income remain intact. It is expected that Ethereum, which is the king of DeFi, will benefit the most from all this. Some are already calling this the beginning of a new 'DeFi summer', but not one driven by speculation, rather one driven by a giant structural change in regulation in the United States! ☀️ It's like the rules of the game have changed and suddenly, DeFi becomes the MVP! 🚀
So, are we seeing the end of the era of tech giants in stablecoins and the unstoppable rise of DeFi? Stay tuned to see how this financial soap opera unfolds! 🎬$ETH $SOL
