In response to Wall Street banks lobbying against stablecoin rewards, Stand With Crypto mobilized over 250,000 online members to send messages to U.S. senators supporting the GENIUS Act.

Stand With Crypto’s letter urges lawmakers to ignore banking advocates trying to ban stablecoin rewards, emphasizing the benefits for consumers and the potential loss of deposits if the ban is implemented.

The GENIUS Act, currently being adopted by federal regulators, prohibits stablecoin issuers from offering interest directly but allows affiliates or exchanges to do so, leading to concerns about potential financial market instability.

Banking groups like the American Bankers Association argue that Congress should close the stablecoin interest payment loophole to protect the flow of credit and financial stability, sparking a debate with crypto lobbyists.

Despite efforts by the U.S. Treasury Department and regulators to implement stablecoin regulations, progress is hindered by a government shutdown due to a lapse in the federal spending plan and lack of agreement in Congress on a way forward.

Stand With Crypto, a pro-crypto organization initially established by Coinbase, boasts over 2.7 million supporters advocating for stablecoin rewards and protecting the GENIUS Act in the U.S. regulatory landscape.

Read more at Yahoo Finance: U.S. Senators Get 250K Letters Calling for Protection of Stablecoin Yields