You Won’t Believe What Banks Are Up To With Stablecoins! đŸ€ŻđŸ’°

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So here we are, folks. In the thrilling lead-up to what they’re calling the CLARITY Act-because who doesn’t want a little clarity in their life, right? Faryar Shirzad, the Chief Policy Officer over at Coinbase, is out there trying to shed some light on this GENIUS Act. Yes, that’s its actual name. GENIUS. I mean, talk about setting the bar high.

GENIUS Act: The Controversial Superstar

Shirzad chimes in, saying that the stablecoin rewards provisions are the hot gossip among lawmakers. He’s like, “Reopening it now? Why don’t we just throw a party for uncertainty?” I mean, come on, can we get a little stability here?

He insists that we need to protect this GENIUS Act because, apparently, rewards for consumers are a good thing. You know, without throwing community banks under the bus. Which is nice, I guess. But let’s be real-banks aren’t too happy about the whole thing.

Why, you ask? Well, Shirzad claims these U.S. banks are raking in around $176 billion every year from their cozy $3 trillion at the Fed, plus another $187 billion from card swipe fees. That’s like almost $1,440 per household! Who knew your credit card was basically an ATM for bankers?

This brings in over $360 billion yearly, but hey, why lend money when you can just sit on it? The Fed’s got them incentivized to keep their reserves nice and comfy instead of actually helping people. Classic!

Stablecoin rewards? Oh boy, those are a problem-not because banks can’t lend, but because they’re actually introducing some competition. Can you imagine? They might have to actually try hard! đŸ˜±

And get this-Shirzad’s all fired up about how China, yes, China, is looking at this bank lobby situation like, “Hmm, opportunity!” They’re tossing around interest payments on their Digital Yuan, which could totally give our U.S. dollar a run for its money. So, if the Senate bans rewards, they’re practically rolling out the red carpet for China. Bravo!

To wrap it up, Shirzad thinks banks aren’t worried about being prudent; they just want to keep their cash cows mooing, thank you very much.

Deaton Calls Out the Banking Bullies

Then we’ve got John E. Deaton, the attorney for XRP holders, stepping into the ring. He’s also had some words about this interesting development with China’s digital yuan, something that seems to be getting people a bit riled up.

Deaton points fingers at the American Bankers Association (ABA) for pressuring the Senate to close what they call a “third-party loophole” in the GENIUS Act. This would essentially keep companies like Coinbase and Kraken from giving rewards to good ol’ everyday Americans. Because, you know, we can’t have people earning money themselves!

He argues that banning American firms from offering yields isn’t protecting banks; it’s basically handing over our wallets to China. Thanks, but no thanks!

And he’s not done. Deaton goes after banking bigwigs like Jamie Dimon, claiming they crafted a bill that’s just a big ol’ anti-crypto slap in the face to average Joe. If the Senate gives in to these bank lobbyists, it’s like imposing a secret tax on all of us just so Wall Street can have its cake and eat it too. Ridiculous!

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2026-01-08 12:20