Rob Nichols: OCC stablecoin new regulations violate legislative intent, leaving a gap in third-party revenue

Rob Nichols, CEO of the American Bankers Association, issued a statement criticizing the OCC's implementation of the GENIUS Act's stablecoin final rule for violating Congress' legislative intent to protect local credit. The new regulations have removed the presumption of illegality clause in the previous proposal regarding specific arrangements between issuers and third parties, allowing platforms such as Coinbase to still provide users with stablecoin earnings. Rob Nichols believes that this gap blurs the boundary between payment stablecoins and bank deposits, and waiting for deposit outflows to occur before dealing with it is a wrong approach. (Source: The Block)