WSJ: The GENIUS Act will force Tether to undergo an audit, making it the “biggest loser”

Odaily News The GENIUS Act, which is about to be passed by the U.S. Congress, will incorporate stablecoins into the mainstream financial system. However, the bill requires stablecoin issuers to use safe assets such as cash and short-term U.S. Treasury bonds as reserves, and large issuers must also publish audited annual financial reports. This poses a severe challenge to the stablecoin issuer Tether - the company's USDT is currently partially supported by Bitcoin and gold, and it has long refused to fully disclose its financial details.
Scott Armstrong, a former federal prosecutor who has handled crypto cases, pointed out: "This could result in Tether being unable to continue operating in the United States." Analysts believe that the GENIUS Act will force Tether to undergo an audit, making it the "biggest loser." Tether representatives have not responded to requests for comment so far. (Wall Street Journal)