The US Treasury is receiving opposing steerage on the way to
implement the GENIUS Act, which regulates stablecoin funds. Coinbase requested
the division to restrict a ban on stablecoin curiosity to issuers. Non-issuers,
comparable to crypto platforms, needs to be allowed to supply curiosity, the corporate
mentioned, arguing this aligns with Congress’s intent.

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belongings meet tradfi in London on the fmls25

The
GENIUS Act was signed into regulation in July. It’s anticipated to take impact
both 18 months after enactment or 120 days after federal regulators problem
closing guidelines, doubtless in late 2026 or January 2027.

BPI Pushes Treasury to Lengthen Stablecoin Curiosity
Prohibition

On the similar time, banking organizations led by the Financial institution
Coverage Institute urged the Treasury to increase the prohibition to
non-issuers. In a joint announcement, BPI and associate teams referred to as for a
blanket ban on stablecoin curiosity funds, protecting exchanges and associated
entities.

The institute mentioned the ban ought to apply whether or not funds
come immediately from an issuer or via associates or companions. BPI had
beforehand warned that permitting stablecoin curiosity may result in as a lot as
$6.6 trillion in deposit outflows from conventional banks.

Simply launched – ABA and 52 state banking associations urge @USTreasury to uphold GENIUS Act’s ban on stablecoin curiosity: https://t.co/2P2jelAuAg

— American Bankers Affiliation (@ABABankers) November 4, 2025

Coinbase Suggests Treating Stablecoins as Money
Equivalents

Coinbase famous that lawmakers deliberately excluded
non-issuer third events from the ban, as a broader prohibition would have
hindered stablecoin market improvement. It added that the Treasury doesn’t
have authority to override Congress.

Coinbase additionally really useful excluding non-financial software program,
blockchain validators, and open-source protocols from the regulation. The corporate
instructed treating cost stablecoins as money equivalents for tax and
accounting functions.

Buying and selling Quantity Drives Coinbase Quarterly Income Progress

In the meantime, Coinbase
reported third-quarter 2025 earnings of $1.50 per share, surpassing analyst
estimates. The trade generated $1.86 billion in income, a 25 per cent
improve from the earlier quarter, pushed primarily by increased buying and selling exercise.

Transaction income contributed $1 billion, whereas
subscription and providers added $747 million. Stablecoin-related income was
$355 million. Buying and selling quantity grew 38 per cent general, with US spot quantity
rising 29 per cent. Web revenue reached $433 million, supported by sturdy
operational efficiency.

This text was written by Tareq Sikder at www.financemagnates.com.