US Banks Lobbying for Stablecoin to Not Be Subject to Interest

American banks are pushing for changes in stablecoin regulations following the passage of the Genius Act. They are concerned that if banks are not allowed to offer interest on the stablecoins they issue, while crypto exchanges can offer rewards, it may trigger a massive outflow of funds. The risks discussed include a potential outflow of funds amounting to USD 6.6 trillion, which could shake the credit system and increase borrowing costs.

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