President Trump Urges Congress to Approve Crypto Market Structure Bill
President Trump criticized U.S. banks for opposing stablecoin yield provisions under the GENIUS Act and warned that delays in advancing crypto legislation could weaken America’s competitive position against China.
President Donald Trump criticized U.S. banks for undermining the GENIUS Act, which provides a regulatory framework for stablecoin issuance, particularly over provisions allowing yield on stablecoins. He urged Congress to accelerate passage of comprehensive crypto market structure legislation, warning that continued delays could shift the United States’ competitive advantage in digital assets to China. Banks are reportedly opposing clauses that permit yield-bearing stablecoins, citing concerns about potential deposit outflows from the traditional banking system. The dispute highlights ongoing tensions between the banking sector and crypto industry as lawmakers work to finalize market structure reforms.
- GENIUS Act: A U.S. law establishing a federal regulatory framework for stablecoin issuance, including provisions governing permissible yield mechanisms.
- Stablecoin yield: Interest or returns offered to holders of stablecoins, often generated through reserve management or lending activities.
- Stablecoin: A type of cryptocurrency designed to maintain a stable value, typically pegged to a fiat currency such as the U.S. dollar.