Bank Participation Terms: New Opportunities for Traditional Financial Institutions

The GENIUS Act opens a fast track for banks to issue stablecoins: 1) FDIC-insured banks can be exempt from the $500 million capital requirement; 2) Direct access to the Federal Reserve payment system is allowed; 3) Enjoy reserve exemption benefits. JPMorgan Chase, Bank of America, and others have submitted compliance plans for products like JPM Coin. Analysis suggests that bank-issued stablecoins will capture 40% of the market share within 2 years, forming a new pattern of "bank issuance + exchange circulation," which may reshape the current market structure dominated by USDT and USDC.