United States Introduces New Financial Regulations Impacting Stablecoin Yield and DeFi Sector

Title: US Stablecoin Yield Ban Sparks Ethereum DeFi Rush After GENIUS Act Becomes Law

The United States has just introduced a new law dubbed the GENIUS Act, which effectively bans all stablecoins from bearing interest. This recent development has sparked an unprecedented surge in Ethereum-based decentralized finance (DeFi) platforms.

As of July 18, 2025, the GENIUS Act officially came into effect, outlawing any stablecoin offering yield to its holders. According to recent reports, this sudden change will have far-reaching implications for the entire cryptocurrency sector.

Ethereum DeFi protocols are now expected to benefit significantly from this move. In a statement, Nic Puckrin, an analyst at [Analyst’s firm], mentioned that “the shift towards Ethereum-based DeFi is nothing short of great news.” He emphasized how people searching for passive income will increasingly rely on decentralized platforms.

This new legislation has not only caught the attention of institutions but also that of individual investors. One notable consequence is the predicted influx of capital into Ethereum DeFi, which still offers various yield-generating options through liquidity pools, lending and staking.

Source: coinchapter.com