According to a report by Crypto In America, on August 15, the GENIUS Act in the United States has recently faced criticism from banks, state regulators, and consumer groups. The core of the debate revolves around Section 16(d), which allows certain uninsured state-chartered banks to operate nationwide under the OCC's supervision, thereby bypassing state approval. Stakeholders have written to the Senate Banking Committee, requesting the removal of this provision due to concerns that it would undermine state oversight and the safety of the financial system. Meanwhile, banking groups have warned that the bill's restrictions on stablecoin interest payments contain loopholes that could lead to outflows of up to $6.6 trillion in bank deposits. Executives at Coinbase have questioned the authenticity of the data, claiming that the growth of stablecoins has not resulted in a loss of deposits for community banks.
