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Analyst: The "GENIUS Act" will drive demand for Decentralized Finance.
According to a report by Cointelegraph on July 19, deep tide TechFlow news states that the GENIUS Act signed by U.S. President Trump on Friday prohibits the issuance of yield-generating stablecoins, cutting off interest-earning opportunities for both institutions and retail investors. These types of stablecoins create interest or returns for holders through yield mechanisms such as staking or lending.
Cryptocurrency analyst Nic Puckrin stated: "The cancellation of stablecoin yields is good news for Ethereum-based DeFi, as DeFi is the main alternative for generating passive income." Yields can be used not only for passive income but also to mitigate the effects of fiat currency inflation.
Christopher Perkins, the president of CoinFund, also stated: "Without yield, the dollar is a depreciating asset. DeFi is the place where value can be preserved through yield generation."