Coinbase warns proposed GENIUS Act changes could erode U.S. leadership in digital payments as China enhances its digital yuan with interest-bearing features.
Coinbase stated that proposed modifications to the GENIUS Act could weaken the United States in global digital payments competition, particularly as China’s digital yuan introduces interest-bearing capabilities. The company warned that these enhancements could make the yuan more competitive against stablecoins, pressuring U.S. policymakers to consider global ramifications. CEO Brian Armstrong had earlier labeled the banking lobby’s push to amend the legislation as a red line, arguing it would harm domestic stablecoin innovation.