Senator Bill Hagerty introduced the GENIUS stablceoin act to regulate stablecoins in the US. The wild west of stablecoins is over!
Don't have the bill text yet, but from my understanding:
🪙Must prove reserves with monthly audits
🪙Issuers over $10 billion regulated by the Fed!
🪙Rigorous AML/KYC (for all users? 👀)
First, this makes bigger stablecoins regulated by the central bank, i.e. a CBDC. 😱 Looks like that's USDC first.
Second, Tether is toast. 😅 There's a reason they moved out of the US recently, as they probably saw the writing on the wall and knew they couldn't comply.
Third, KYC is coming in a big way. Not sure if it's going to be for all wallets and holders, but at least custodial accounts will need it. Potentially everyone, watch out for that.
Will write a longer analysis when more details come out!
crypto legislation is coming.
this is just the start.
I am actually super excited to see the work on digital ID standards so we can stop carrying around physical IDs.
My state has one already, but other states don't accept it.
Yeah, frameworks are great, regulation, not so much. It's a hard approach to get right.
100 percent.