TechFlow news, August 14 — According to The Block, the American Bankers Association (ABA), together with 52 banking organizations, sent a letter to the leadership of the Senate Banking Committee proposing amendments to the GENIUS Act (Guidance on National Innovation for U.S. Stablecoin).
The banking groups argue that the current bill contains loopholes regarding restrictions on interest payments by stablecoin issuers, which could be easily circumvented by exchanges, brokers, and similar entities. They warn this could transform stablecoins from payment tools into stores of value and credit mechanisms, thereby distorting market incentives. The groups recommend expanding the prohibition on interest payments to include digital asset exchanges, brokers, and their affiliated entities.
