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$4.12 billion
rested against several American banking groups after ordering regulators to block rewards and discounts linked to stablecoin payments.
These banking groups want rules they want prevents stores and service providers from offering cashbacks, loyalty points or price reductions when customers pay with stablecoins.
The disagreement centers on the GENIUS Act. This law prevents companies that issue stablecoins from offering interest or similar returns to the holders of those tokens.
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The banking groups argued that these benefits still count as “indirect interest.” Their position is that if a business benefits from its link to a stablecoin issuer, then the ban should apply to that business as well.
In response, the company’s head of policy, Faryar Shirzad, said in a post on X that the regulators must follow the exact wording of the law. He wrote:
There is something un-American about bank lobbyists pressuring regulators to tell stablecoin customers what they can and cannot do with their money after it is issued.
Coinbase he also said that stablecoins could help reduce the more than $180 billion that US companies pay in card fees by 2024. The company noted that stablecoin payment options could give merchants a less expensive alternative.
Coinbase recently addressed comments from Senator Chris Murphy, who raised concerns about the company’s financial support for a White House project and for political groups linked to President Donald Trump. What did Shirzad say? Read the full story.
