🚨 BREAKING: GENIUS Act Passes — Stablecoins Hit Hard ⚠️
The U.S. Congress just passed the GENIUS Act, making it illegal to offer any yield/interest on stablecoins like $USDT.
This isn’t a small tweak — it’s a structural shock to global crypto finance.
📉 Immediate Effects
• Stablecoin holders now earn 0% returns
• Issuers earn billions from U.S. Treasuries
• Digital Dollar becomes less competitive globally
🐉 China Strikes
Starting Jan 1, 2026, China launches the Interest-Bearing Digital Yuan (0.35%), giving traders a clear choice:
• Hold USD → pay fees, no yield
• Hold Yuan → earn interest
Global capital is starting to shift east.
🏦 Institutional Exodus
• Investors are fleeing zero-yield USD stablecoins
• Billions moving out of BlackRock ($BUIDL) & Franklin Templeton ($BENJI)
• Yield-seeking institutions are rapidly reallocating to digital yuan or other interest-bearing instruments
🔥 Systemic Risk Alert
• Stablecoin issuers are not guaranteed by the Fed
• In a liquidity crunch → large-scale sales of U.S. Treasuries could trigger:
Yield spikes
U.S. market instability
Dollar weakness
⚠️ The GENIUS Act may have weakened, not strengthened, dollar dominance in global finance.
$BTC |
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