Big Banks Push to Dismantle GENIUS Act as Crypto Group Fights Back

Major banks are pushing Congress to dismantle the GENIUS Act while cryptocurrency advocates mount fierce resistance, creating a pivotal battle over stablecoin regulation and digital asset policy. The banking sector argues that stablecoins pose significant threats to traditional deposit systems and credit markets, potentially destabilizing the current financial infrastructure.

Cryptocurrency groups are urging lawmakers to defend the GENIUS Act, viewing it as crucial legislation for blockchain innovation and DeFi market growth. This regulatory showdown highlights the intensifying conflict between traditional banking institutions and the rapidly expanding crypto ecosystem.

The dispute centers on stablecoin oversight, with banks claiming these digital assets could undermine their deposit base and lending capabilities. Crypto proponents argue that dismantling the GENIUS Act would stifle Bitcoin adoption, cryptocurrency innovation, and America's competitive edge in digital finance.

This legislative battle could significantly impact cryptocurrency markets, blockchain development, and the future of decentralized finance. Investors are closely monitoring congressional proceedings as the outcome may influence regulatory clarity for digital assets, potentially affecting Bitcoin prices and broader cryptocurrency market sentiment. The conflict underscores the ongoing tension between legacy financial systems and emerging blockchain technology.