Core Summary
A bipartisan group of US senators has jointly written to the Treasury Secretary, requesting that the upcoming GENIUS stablecoin act framework explicitly preserve states’ regulatory authority over stablecoin issuers. The senators warned that excessive federal concentration of regulatory power could stifle financial innovation at the state level.
Event Overview
According to CoinDesk, the bipartisan letter was initiated by members of the Senate Banking Committee and received support from both Republican and Democratic lawmakers. The letter emphasizes that states have a long history and extensive experience in financial services regulation, and the federal government should not completely replace state-level oversight in the stablecoin domain.
The GENIUS Act aims to establish a federal regulatory framework for dollar-backed stablecoins, providing legal certainty for the crypto industry. However, provisions regarding federal preemption have raised concerns among state regulators, who argue this could create a “regulatory vacuum.”
Editor: GoodInfo Global News Team