Coinbase: Digital Yuan's Interest-Bearing Feature Could Erode U.S. Stablecoin Advantage

Odaily News Coinbase stated that proposed amendments to the "GENIUS Act" could undermine the United States' position in the global expansion of digital payments. Concurrently, the strategic rollout of an interest-bearing feature for the digital yuan will exert new pressure on U.S. policymakers, as this interest-bearing framework could attract yield-seeking users. This dynamic may reshape the competitive landscape, positioning the digital yuan as a more distinct competitor to stablecoin products. Coinbase warned that restricting stablecoin reward options could diminish the competitiveness of stablecoins. Internal lobbying efforts have further intensified tensions. Coinbase maintains that the leading position of stablecoins underpins the strength of the U.S. dollar and argues that policy adjustments must account for the international context. U.S. lawmakers now face a decision that could influence the direction of the next phase of digital payments. (Coingeek)