Coinbase challenges GENIUS Act critics, says stablecoins do not pose systemic financial risk

Coinbase executives have argued that stablecoins’ reserve structures make them safer than banks and do not amount to a systemic threat to the U.S. financial system. They pushed back against claims from Better Markets and the Bank Policy Institute that stablecoins resemble risky money market funds, as the GENIUS Act would allow reserves to include uninsured deposits and other instruments. The dispute over how stablecoin yields and reserves should be structured continues to hold up the broader crypto market structure bill in the U.S. Senate.