GENIUS Act Advances: Deposit-Flight Risk, AML Rules, and Stablecoin Tax Lobbying

One year into the GENIUS Act, deposit-flight risk from banks to stablecoin products is no longer hypothetical, with measurable banking impact being assessed. Hyperliquid and Paradigm urged FinCEN to revise stablecoin AML rules under the Act, while Anchorage backed GENIUS AML rules and sought clear scope definitions. Coinbase separately lobbied Congress to eliminate taxes on stablecoin spending.