Bank of America tries to enter the Stablecoin market and places itself against well -known industrial leaders such as Tether and Circle.
Chebbolins -related Stablecoins represent Fiat like the US dollar, and billions of daily transactions and traditional banks are unwilling to get out of the episode. Technology giants such as Tether and Circle are already on the market, but traditional banks such as Bank of America are moving quickly to share their demand.
Bank of America aspirations
On February 26, CEO of America, CEO of America, stated that the Bank of America will export Stablecoin as soon as Congress provides a clear legal framework.
Since Moinhan made his statement, the bank worked behind the scenes through industry groups such as the American Banking Association and the Institute of Banking Policy to try to persuade legislators to grant traditional financial institutions a competitive advantage. The bank tries to obtain legislation preferred traditional banks while restricting non -bank exporters such as startups and technology companies.
Legislators are currently discussing two major draft laws that can positively or negatively affect the future of digital banking services. The established law of the Parliament and the Senate Genius Law is all of the draft laws that can be granted the absence of qualified jokes in the permission of the issuance of Stablecoins.
The bank of America and the financial institutions in force have argued that allowing companies such as Amazon or Meta in the financial space will create an unfair intersection between banking and trade services, which may affect the customer’s privacy.
“The reason you do this is that if you do not, the retail company, for example, can look at your bank account, your data, and your expenses, and take some really, truly intrusive and anti -competition on how to market you. Thus, Congress has long decided to do this chapter. I mentioned.
To date, no unit from the sources of the issuance of Stablecoins has not gathered a lot of traction with the Senate or the House of Representatives, as both projects still have provisions for non -banking institutions interested in issuing Stablecoins.
Tension and facial circle new competition
While Boa is working to achieve its goal of launching Stablecoin and Tether and Circle, the dominant exporters in the Stablecoin market are making moves to expand the Stablecoin.
Circle is a company based in the United States and enhances itself as a source of a distinctive symbol suitable for compliance. It has been actively pressed on legislation that supports non -bank sources and guarantees consumer protection.
The CEO of Tether, Paolo Ardoino, commented on the restriction of non -banks of Stablecoins. “If a company like Meta can bring transparency, compliance and protect the user to the table, there is no reason for not sharing it. Create artificial barriers only works to protect job occupants – not users,” as the bloc mentioned.
Tether, whose headquarters are abroad, hinted at the American market. ARDOINO recently visited Washington, DC and New York, as it suggested that a subsidiary of the dollar -made dollar in the United States will be established that would meet the needs of institutional customers.
Tether’s USDT has more than $ 145 billion, while Circle has about $ 60 billion in USDC.
Circle is likely to benefit from legislation that imposes strict reserve requirements and review, unlike Tether.
“The biggest compliance question is the question that everyone talked about, which is the reserves and the requirements of the reserve. Jennifer Schulp, director of financial organization studies at the Cato Monetary and Financial Institute Center, said.
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