Coinbase is urging the U.S. Treasury to align its forthcoming rules for the GENIUS Act with the original intent of Congress. The GENIUS Act, signed into law in July 2025, aims to establish a federal framework for regulating stablecoins. Coinbase's feedback emphasizes the importance of not extending requirements beyond what the legislation specifies. They warn that overreach could hinder innovation and contradict the law's goal of positioning the U.S. as the leading hub for cryptocurrency. In its response, Coinbase advocates for a narrow interpretation of the law, specifically suggesting that non-financial software and blockchain validators should be excluded from its requirements. They highlight that the prohibition on interest payments is only applicable to stablecoin issuers, not to intermediaries or exchanges that provide loyalty rewards. Coinbase argues that misclassifying these rewards as prohibited interest would misinterpret Congress's intentions. The company also proposes that payment stablecoins be treated as cash equivalents for tax purposes, calling for a more straightforward approach from the Treasury and the IRS regarding these financial instruments.