It can be easier?

 

Donald Trump is expected to sign the GENIUS Act into law Friday, securing his first big win as a self-described "pro-crypto president." The act is the first major piece of cryptocurrency legislation passed in the US.

The House of Representatives voted to pass the GENIUS Act on Thursday, approving the same bill that the Senate passed last month. The law provides a federal framework for stablecoins, a form of cryptocurrency that's considered less volatile than other cryptocurrencies, as each token is backed by the US dollar or other supposedly low-risk assets.

  ars technica

Supposedly. I don't think the dollar is going to be all that promising in the future.

It could become a gateway for many Americans who are otherwise shy about investing in cryptocurrencies, which is what the industry wants. Ahead of Thursday's vote, critics had warned that Republicans were rushing the pro-industry bill without ensuring adequate consumer protections, though, seemingly setting Americans up to embrace stablecoins as legitimate so-called "cash of the blockchain" without actually insuring their investments.

And, the regime has shut down the Consumer Protection Bureau. So, you're on your own. Don't expect honest brokers in the crypto world.

A big concern is that stablecoins will appear as safe investments, legitimized by the law, while supposedly private companies issuing stablecoins could peg their tokens to riskier assets that could tank reserves, cause bank runs, and potentially blindside and financially ruin Americans.

Fun times ahead.

Stablecoin scams could also target naïve stablecoin investors, luring them into making deposits that cannot be withdrawn.

Sounds like a perfect Trump scheme.

Rep. Maxine Waters (D-Calif.)—part of a group of Democrats who had strongly opposed the bill—further warned Thursday that the GENIUS Act prevents lawmakers from owning or promoting stablecoins, but not the president.

Definitely a perfect Trump scheme.

Trump and his family have allegedly made more than a billion dollars through their crypto ventures, and Waters is concerned that the law will make it easier for Trump and other presidents to use the office to grift and possibly even obscure foreign bribes.

Very easy now.

"By passing this bill, Congress will be telling the world that Congress is OK with corruption, OK with foreign companies buying influence," Waters said Thursday, CBS News reported.

Is she implying Congress isn't OK with corruption and foreign influence? Oh, sweet summer child. Come on, Maxine, you've been around a while.

Some lawmakers fear such corruption is already happening.

No!  You don't say!

Some lawmakers fear such corruption is already happening. Senators previously urged the Office of Government Ethics in a letter to investigate why "a crypto firm whose founder needs a pardon" (Binance's Changpeng Zhao, also known as "CZ") "and a foreign government spymaker coveting sensitive US technology" (United Arab Emirates-controlled MGX) "plan to pay the Trump and Witkoff families hundreds of millions of dollars."

The White House continues to insist that Trump has "no conflicts of interest" because "his assets are in a trust managed by his children," Reuters reported.

Kill me now.

Ultimately, Waters and other Democrats failed to amend the bill to prevent presidents from benefiting from the stablecoin framework and promoting their own crypto projects.

Democrats have offered so little resistance in recent decades, they may as well go home.

Markets for various cryptocurrencies spiked Thursday, as the industry anticipates that more people will hold crypto wallets in a world where it's fast, cheap, and easy to move money on the blockchain with stablecoins, as compared to relying on traditional bank services. And any fees associated with stablecoin transfers will likely be paid with other forms of cryptocurrencies, with a token called ether predicted to benefit most since "most stablecoins are issued and transacted on the underlying blockchain Ethereum," Reuters reported.

Unsurprisingly, ether-linked stocks jumped Friday, with the token's value hitting a six-month high. Notably, Bitcoin recently hit a record high; it was valued at above $120,000 as the stablecoin bill moved closer to Trump's desk.

Perhaps we'll be more prepared to accept alien overlords when we've turned loose of anything tangible. I always hoped we'd evolve. I guess this could qualify. Moving into the realm of the mind. Nothing is real. AI and crypto creation. Oh! We could be preparing to meet GOD! We won't need physical senses. This really could be a GENIUS act.

Consumer Reports' senior director monitoring digital marketplaces, Delicia Hand, told Ars that the group plans to work with other consumer advocates and the implementing regulator to try to close any gaps in the stablecoin legislation that would leave Americans vulnerable.

Good luck, Delicia. What a name. Delicia Hand.

Some Democrats supported the GENIUS Act, arguing that some regulation is better than none as cryptocurrency activity increases globally and the technology has the potential to revolutionize the US financial system.

I recall hearing New Age disciples in the late 90s talking about a coming revolution to the US financial system. A new form of economy that would leave the dollar behind. They heard it from their psychic alien partners in other realms. It was also supposed to be an economy that was good for everyone. Damn. Those lizard people have suckered us into the darkness by promising light. "To serve Mankind," indeed.

The only real assurances for stablecoin investors are requirements that all firms must publish monthly reserves backing their tokens, as well as annual statements required from the biggest companies issuing tokens. Those will likely include e-commerce and digital payments giants like Amazon, PayPal, and Shopify, as well as major social media companies.

Meanwhile, Trump seemingly wants to lure more elderly people into investing in crypto, reportedly "working on a presidential order that could allow retirement accounts to be invested in private assets, such as crypto, gold, and private equity," the BBC reported.

Sure! Trump is the ultimate old person scammer. And then he can do away with Social Security.

Waters, a top Democrat on the House Financial Services Committee, is predicting the worst. She has warned that the law gives "Trump the pen to write the rules that would put more money in his family’s pocket" while causing "consumer harm" and planting "the seeds for the next financial crisis."

Bingo.

But wait. They're not done.

The House of Representatives passed two other crypto bills this week, but those bills now go to the Senate, where they may not have enough support to pass.

The CLARITY Act—which creates a regulatory framework for digital assets and cryptocurrencies to allow for more innovation and competition—is "absolutely the most important thing" the crypto industry has been pushing since spending more than $119 million backing pro-crypto congressional candidates last year, a Coinbase policy official, Kara Calvert, told The New York Times.

Republicans and industry see the CLARITY Act as critical because it strips the Securities and Exchange Commission of power to police cryptocurrencies and digital assets and gives that power instead to the Commodity Futures Trading Commission, which is viewed as friendlier to industry. If it passed, the CLARITY Act would not just make it harder for the SEC to raise lawsuits, but it would also box out any future SEC officials under less crypto-friendly presidents from "bringing any cases for past misconduct," Amanda Fischer, a top SEC official under the Biden administration, told the NYT.

Nothing fishy about that.

But Senators aren't happy with the CLARITY Act and expect to draft their own version of the bill, striving to lay out a crypto market structure that isn't "reviled by consumer protection groups," the NYT reported.

Ease us into economic destruction.  It'll be easier that way.

And the other bill that the House sent to the Senate on Thursday—which would ban the US from creating a central bank digital currency (CBDC) that some conservatives believe would allow for government financial surveillance—faces an uphill battle, in part due to Republicans seemingly downgrading it as a priority.

The anti-CBDC bill will likely be added to a "must-pass" annual defense policy bill facing a vote later this year.

[...]

Terry Haines, founder of the Washington-based analysis firm Pangaea Policy, has forecasted that both the CLARITY Act and the anti-CBDC bills will likely die in the Senate, the BBC reported.

"This is the end of crypto's wins for quite a while—and the only one," Haines suggested. "When the easy part, stablecoin, takes [approximately] four to five years and barely survives industry scandals, it's not much to crow about."

We'll see. 

The thing of it is, most of us don't understand much - if any - of this crypto stuff. So we won't be objecting.