Revised GENIUS Bill Targets Tether and Other Overseas Stablecoins, Raises Concerns for DeFi

The new version of the U.S. Senate's Stablecoin Regulation Bill, known as the GENIUS Act (S.1582), has been unveiled, revealing a major change whereby foreign stablecoin issuers will fall under U.S. jurisdiction if they provide services to U.S. users. The Senate was unable to proceed with a vote to formally begin deliberations on the bill on Thursday, U.S. time, with some senators pointing out that they did not have a chance to review the text of the bill before the vote.

The new version introduces three significant changes, the most notable of which is the concept of 'extraterritorial application'. This would place the world's largest stablecoin issuer, Tether, under U.S. jurisdiction, even though it is based outside the U.S. but serves U.S. citizens...