The new stablecoin bill GENIUS requires Tether to accept US jurisdiction regardless of its place of registration

Odaily Planet Daily News On Thursday, the Senate failed to push the newly revised stablecoin GENIUS Act into the formal debate process, and some members said they had not seen the text of the bill before voting. The latest version obtained by the media on Friday showed that the biggest revision is: as long as it serves American users, foreign issuers such as Tether will be subject to US jurisdiction regardless of where they are registered. In addition, the core changes of the new version of the "GENIUS Act" include: 1. Jurisdiction reconstruction: Adding a "extraterritorial application" clause requires overseas issuers to comply if they are facing US users (this move will end Tether's regulatory ambiguity. Combined with the clause that allows the expansion of reserve asset types, it further highlights the bill's inclination towards this company, which claims to be the "seventh largest holder of US Treasury bonds"). 2. Expansion of the definition of service providers: Including developers, verification nodes, self-hosted wallets, etc. into "digital asset service providers" has triggered new disputes over whether DeFi protocols need to comply with the Bank Secrecy Act and anti-money laundering regulations, and stipulates that the use of unauthorized stablecoins (such as decentralized stablecoins) must be held accountable. 3. Safe Harbor Clause: Authorizes the Secretary of the Treasury to provide regulatory flexibility for small/experimental projects, but allows unilateral action in "emergency situations" (criticized for excessive executive power). Currently, the bill is only supported by the Republicans, and it may be difficult to pass if it fails to win the support of the Democrats. Industry insiders expect that the Senate may initiate another debate motion before the end of the month.