Coinbase is urging the U.S. Treasury to align its upcoming GENIUS Act rules with the original intent of Congress. The company emphasizes that non-financial software should not fall under the Act's requirements and that stablecoins should be treated as cash equivalents for tax purposes.

The White House has unveiled a detailed 168-page report providing recommendations for the regulation of digital assets, including stablecoins and a proposed crypto stockpile. This report, stemming from an executive order by President Trump, aims to create a regulatory framework that acknowledges the potential of blockchain technologies to transform financial systems.

The U.S. Treasury Department is inviting public comments on the implementation of the GENIUS Act, the first stablecoin-specific legislation in the U.S. The act aims to foster innovation in payment stablecoins while ensuring consumer protection and addressing financial stability risks. The comment period ends on October 20, with the Treasury seeking insights from both critics and industry participants.

Arthur Hayes discusses the bullish sentiment surrounding stablecoins, driven by significant financial and political factors, particularly the involvement of large banks and government policies. He argues that the push for stablecoins could unlock trillions in liquidity for treasury purchases, ultimately benefiting equity markets while raising concerns over the implications for financial freedom and independence.

The U.S. Treasury Department is requesting public comments on innovative methods to detect illicit activities involving digital assets, following the signing of the GENIUS stablecoin act. The law requires stablecoins to be fully backed by U.S. dollars and establishes a federal regulatory framework, while also addressing concerns from banking associations regarding potential market distortions.