Cryptocurrency Is Here To Stay: Senator John Thune

On June 11, Senior United States Senator from South Dakota, John Thune, made a huge statement about cryptocurrency, saying, “cryptocurrency is here to stay, and it’s time that we bring it into the mainstream.”

While addressing the Senate floor to discuss the GENIUS Act, Senator John Thune affirmed that a significant number of netizens are engaging with cryptocurrency, including the growing use of stablecoins. 

He also highlighted the growing adoption of stablecoins among businesses like Uber and Airbnb and Uber. These companies are exploring stablecoins to reduce the costs they pay to traditional card networks. 

Stablecoins like USDT also open the doors for foreign countries and individuals to access USD. John Thune praised the stablecoin’s ability for faster and secure payments thanks to blockchain technology. 

At the time of writing, the overall market capitalization of stablecoins revolves around $234.52 billion. 

The GENIUS Act is a proposed U.S. bill, which is aimed at regulating stablecoins to mitigate risks to financial stability. It mandates that issuers must be FDIC-insured depository institutions or maintain 100% high-quality liquid reserves (like cash or Treasuries).

While GENIUS does not directly ban algorithmic stablecoins, it aims to prohibit unstable models like TerraUSD, which collapsed in 2022. 

Furthermore, the act will place stablecoin regulation under the Federal Reserve, Treasury, and FDIC. This will prevent state-level regulatory arbitrage. The act will ensure that stablecoin holders can redeem 1:1 for dollars with verified backing and strict reserve requirements. 

Also Read: Trump Wants One-Percent Rate Cut: What It Means for Crypto?

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Rajpalsinh Parmar
Written by Rajpalsinh Parmar

Rajpalsinh is a crypto journalist with over three years of experience and is currently working with CryptoNewsZ. Throughout his journey, he has honed skills like content optimization and has developed expertise in blockchain platforms, crypto trading bots, and hackathon news and events. He has also written for TheCryptoTimes, where his ability to simplify complex crypto topics makes his articles accessible to a wide audience. Passionate about the ever-evolving crypto space, he stays updated on industry trends to provide well-researched insights. Outside of work, gaming serves as his stress buster, helping him stay focused and refreshed for his next big story. He is always eager to explore new blockchain innovations and their potential impact on the global financial ecosystem.

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