Galaxy Digital: GENIUS stablecoin could bring up to $1.
According to ChainCatcher, Galaxy Research Head of Research Alex Thorn published a post revealing that Galaxy Research has released its latest report, which refutes the banking industry’s claim that the “GENIUS Act” will impact US bank deposits and provides quantitative analysis results.
The key findings of the report are as follows: under the GENIUS Act framework, 60% to 70% of stablecoin inflows will originate from overseas, with inflows from foreign deposits approximately double the amount of domestic deposit migration, meaning that overall it is a net increase rather than a shift of existing funds; for each newly minted GENIUS stablecoin, about $0.32 of net credit is generated for the US economy; by 2030, the base scenario projects total credit expansion of about $40 billion, rising to $120 billion in the optimistic scenario. In addition, US Treasury bill yields are expected to compress by 3 to 5 basis points, potentially saving taxpayers up to $3 billion in annual borrowing costs. The report also notes that the interest transfer mechanism does not pose an existential threat to the US banking sector, but is merely a redistribution of profit margins and will not diminish overall credit capacity.
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