GENIUS Act

Coinbase CEO Brian Armstrong addressed Capitol Hill amid a regulatory clash between crypto and banking sectors. The debate centers on crypto exchanges offering rewards, viewed as similar to bank interest. Banking groups lobby to restrict this, fearing deposit outflows to stablecoins. Armstrong argues for a level playing field, dismissing bank concerns as protecting revenue. The GENIUS Act’s interpretation on exchange-offered rewards is disputed. Banks warn of diminished lending capacity, citing a potential $6.6 trillion deposit shift. Crypto advocates claim restrictions favor traditional institutions. The outcome of market structure legislation will shape the future of digital assets and finance.