The draft filtering of the Genius Act (guidance and establishment of national innovation for US Stablecoins) seeks to regulate the US Stablecoins market reveals that the amendments envisaged in the text consider banning tech giants such as Meta and Google from emising digital coins.
According to a tweet from journalist Eleanor Terrett, the two-page text of the project is Specific languages targeted at technology companies, Strengthen separation between banks and commerce.
In this way, lawmakers will ensure that they regulate absurd regulations in the United States. This specifies the separation between financial institutions and commercial companies to avoid conflicts of interest and protect consumers.
Allowing goals or Google issues breaks this barrier, as these companies are not banks and tech giants with diverse commercial interests is not banks.
The draft is still under discussion ban emitters of stablecoins I will make a deceptive statement He is covered by the Federal Deposit Insurance Corporation (FDIC) and uses terms related to the US government in the name of the digital currency. These measures pursue greater transparency and protect consumers in a stable market that is distributed and exceeds $200 billion, according to Defillion data.
Regulation of stubcoins in counterrelogy races
After the “Domain Domain Act” failed last week in the Senate, the Genius Act was also reported by cryptootics, which means Republicans and Democrats are now working together to reinvigorate it. Approval of this regulation is essential by May 26th. Retention potential deadline.
Additionally, two sources close to the issue cited by Terrett, a possible package of bipartisan amendments for the bill began to spread in the Senate. These amendments include new provisions on consumer protection, bankruptcy regulations and ethical standards. This demonstrates efforts to address previous concerns regarding the impact of financial stability and stability on risk of fraud.
The Genius Act, introduced by Senator Bill Hagerty on February 4, 2025, has the support of key figures such as Senate Banking Committee Chairman Tim Scott and Cynthia Ramis. However, the project is Lagoon concerns and potential conflicts of interest in consumer protection.
Critics such as Senator Elizabeth Warren warned at the time that the project version could allow non-financial technology companies such as Elon Musk’s Goals and X to broadcast Stablocoins, which consider the threat to the historic separation between banks and trade. Warren also pointed to the risk of financial instability, citing circles stabulin and other cases of circles that fell into depreciation in 2023. Therefore, modifications are proposed to enhance protection.
Meanwhile, project defenders such as France’s Hill representative have argued that stubcoin regulation is important to maintain US leadership. uu. In financial innovation, we will counter the advances in digital currencies such as the Chinese Yuan. Hill united his proposal, stable law, with the genius promoting a unified federal framework.