I wish folks on both sides of the stablecoin debate would be honest. It is true that the assets backing GENIUS-compliant stablecoins are very safe. There should never be a massive hole in a stablecoin issuer’s balance sheet that needs to be backstopped by insurance. It is also true that the FDIC is far more than an insurance fund. It also ensures that there is no disruption in customers’ ability to access their money if the bank fails. As written, the GENIUS Act contains some significant flaws regarding receivership, bankruptcy, and the rights of stablecoin holders.