Significant Progress in U.S. Crypto Assets Regulation

The U.S. Senate recently passed the landmark "GENIUS Act", marking an important step for the federal government in regulating stablecoins. The passage of this bill also puts pressure on the House of Representatives to plan the next phase of digital asset regulation. This is the Senate's first approval of significant Crypto Assets legislation.

One of the main sponsors of the bill, a Republican senator, expressed gratitude to colleagues who supported the bill before the official vote. Just less than a week ago, lawmakers voted overwhelmingly in favor of the bill, so its final passage was not surprising.

Next, the House will face the issue of how to advance related legislation. In April of this year, the House Financial Services Committee proposed its own stablecoin regulation bill, the "Stablecoin Transparency and Accountability to Promote a Better Ledger Economy Act." However, this bill has not yet been submitted for a full vote in the House.

Meanwhile, the Crypto Assets market continues to fluctuate. As of the time of writing, major Crypto Assets are generally declining. The price of Bitcoin has fallen to $104,691, with a 24-hour decline of 2.2%; the price of Ethereum is $2,516.29, with a 24-hour decline of 2.0%. Other mainstream Crypto Assets such as BNB, Solana, Dogecoin, and XRP have also experienced varying degrees of decline.

The Federal Reserve will discuss easing bank leverage requirements

The Federal Reserve announced that it will hold a board meeting on June 25 to discuss amending the so-called "supplementary leverage ratio." This ratio requires banks to allocate capital against their assets regardless of risk. This meeting will be the first since the appointment of the new top regulatory official of the Federal Reserve, Bowman.

Relaxing the leverage ratio requirements may be the first step in a series of easing rule plans by the Federal Reserve. Bowman aims to reform the way the Federal Reserve regulates and supervises some of the largest and most complex banks in the United States. While the Federal Reserve has yet to disclose specific details of the proposals, the banking industry has been calling for changes to the supplementary leverage ratio for years. Possible directions for the changes include exempting assets traditionally considered safe, or adjusting the formula used to calculate the leverage ratio.

The banking industry believes that the current supplementary leverage ratio may actually hinder its ability to enter the intermediate Treasury market during periods of market stress. This discussion is expected to open the door for the Federal Reserve to re-examine a broad plan for bank regulatory rules.

Crypto Assets Industry Trends

JPMorgan Chase announced that it will pilot the issuance of the deposit token JPMD on the Base network, indicating that the world's largest bank is further deepening its layout in the digital asset field. The bank plans to conduct a transaction in the coming days, transferring a certain amount of JPMD from the bank's digital wallet to a major Crypto Assets exchange.

A well-known Crypto Assets exchange is seeking approval from the United States Securities and Exchange Commission ( SEC ) to offer blockchain-based stock services. This move demonstrates the further integration of traditional finance and encryption technology.

The stablecoin project Plasma announced that it will no longer raise the deposit limit, keeping the total limit at $1 billion. Although the recharge channel is closed, the system will continue to operate. Users can still withdraw at any time before the lock-up period begins, but withdrawing or transferring the voucher tokens will reduce the allocated shares.

In terms of regulation, the Thai cabinet has approved a five-year personal income tax exemption policy on the profits from Crypto Assets sales. This initiative is expected to further promote the development of the country's Crypto Assets market.