The American Banquet Association (ABA) raises questions about the genius law approved by the US Senate Banking Committee and encourages the use of ridiculous banking committees within the country.
In a statement sent to the House Financial Services Committee, the ABA “may cause significant disorder to commercial banks’ key activities, such as deposits and loan collection,” the ABA said.
According to the ABA, Stablecoins “is not just a competitive concern. Rather, they pose a significant risk to the fundamental role banks play in credit brokering.
The organization, prior to approval by the committee, is that the previous version of the law They generated “basic concerns of inadequate regulation, supervision and application.”
An important point of ABA is the management of interests generated by payment stubcoins. He suggests that “the bill should prohibit stablecoins issuers to pay interest, dividends, or any kind of profit on standard coins in payments, in addition to avoiding consumer confusion by distinguishing stable payments for bank deposit payments.”
On that line, Brook Iborah, head of the ABA Innovation Office, spoke with the local American banker media. He said the banking industry has “long advised on a lasting framework that promotes financial stability and protects consumer access to credit while stimulating innovation.”
Ybarra added: “We praise the committee’s work to praise the committee’s work and hope that the final legislation will promote deposit flows outside the banking system and protect the fundamental role banks play in the middle of lending and the impulse of the economic.”
What the ABA says is in contrast to the vision of the federal government led by Donald Trump. This raises the use of Stablecoins as a mechanism to strengthen and protect the US dollar, as reported by Cryptootics.
On the other hand, stable cryptocurrencies can indeed imply a bank’s failure, which can generally imply a bank’s failure due to its system’s limitations and distinctive limitations. This is something you can do, taking into account what you can do through these assets. Maintain autonomy and economic independencein this case, it does not require a centralized third party, as is traditional financial institutions.
On Thursday, March 13, the Senate Banking Committee approved the Genius Bill presented by Senators Bill Hagerty, Tim Scott, Kirsten Gillibrand and Cynthia Ramis. This was reported by Cryptootics.
The vote ended with 18 votes and six votes in favor. During the debate, the amendment presented by the Democrats was rejected.
The regulations seek to promote the use of stubcoins in the United States, but as previously reported by Cryptonotics, it also grants the Treasury Secretary to freeze suspicious transactions in Stablecoins, including USDT and USDC.
The Genius Bill marks a step towards integration of stable rocks into the US financial system. However, committee approval does not end the legislative process. Regulations must pass through the House and the entire Senate.
ABA interventions are about to influence the next stage. He wants to ensure that the final text considers concerns in the banking sector. The discussion about Stablecoins is nothing new. These coins are linked to assets such as dollars, their value is linked to dollars, They have become popular in recent years. While it is attractive to use with quick payments and transfers, it also creates tension with traditional institutions.
The ABA’s position reflects the balance between embracing innovation and protecting the current banking model. The organization will not reject Stubcoin entirely. You will recognize this possibility, but ask for clear rules.
The debate on genius law will continue in the coming weeks. The final decision will determine how stubcoin is integrated into the US. meanwhile, The banking sector closely monitors the progress of digital currencies.
(tagstotranslate)Banks and Insurance
