U.S. banks lobby to amend stablecoin regulations, fearing it could trigger a massive outflow of trillions of dollars.

[Coin World] On August 25, it was reported that Bank of America is pushing for amendments to new stablecoin regulatory rules, concerned that these rules could trigger a capital outflow of trillions of dollars, highlighting the increasingly fierce competition between Wall Street and the Crypto Assets industry. Last week, banking lobbying groups, including the American Bankers Association (ABA), the Bank Policy Institute (BPI), and the Consumer Bankers Association (CBA), warned lawmakers that there are "loopholes" in the regulation that could allow some crypto trading platforms to indirectly pay Interest to stablecoin holders. The "Genius Act" is a law passed by the U.S. Congress in July aimed at regulating the $288 billion stablecoin market, which prohibits issuers from paying clients "yields" or Interest. Under the new rules, banks can issue their own stablecoins but are not allowed to pay any Interest.