I think nonbank stablecoin issuers that are regulated under GENIUS are going to be at a structural disadvantage. If you can only hold tbills out to 3 months, but a stable backed by a bank deposit can lend in all the ways a bank can lend now, that’s tough.

It’s even worse if bank stables backed by deposits can on/off ramp with less friction than independent stables. Tether aside, most stables don’t have a lot of moat that can survive competitors allowed to earn more than the risk-free rate.

Stable issuers need to be laser focused on that much misused DeFi shibboleth - utility. By which I mean you can *use* it for something other than just yield.