The Stablecoin Act Drives a Shift in Investor Sentiment

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CoinWorld News reports that ZeroStack CEO Daniel Reis-Faria said that the passage of the stablecoin bill has reduced investor uncertainty but has not yet addressed institutional hesitation. The bill was finalized on May 1 by Senators Thom Tillis and Angela Alsobrooks, with provisions that clearly prohibit crypto platforms from paying stablecoin interest in any way. Activity-based rewards related to payments and platform use are still allowed. The Senate Banking Committee currently plans to review the bill at a meeting on May 11 and vote on it before the Memorial Day recess on May 21. Reis-Faria noted that although lawmakers are getting closer to reaching an agreement on stablecoin rules, that does not mean investors will act immediately. He said the key issue right now is uncertainty, not the rules themselves. Standard & Poor’s estimates that unrestricted stablecoin yields could transfer as much as $500 billion in deposits from traditional banks before 2028.

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