Consensys Challenges OCC Rules Under GENIUS Act

Consensys, a leading Ethereum infrastructure company, has submitted a comment letter to the Office of the Comptroller of the Currency (OCC) regarding its proposed rules for implementing the GENIUS Act.

The company argues that the OCC's framework is overly restrictive and could have significant consequences for the industry. Specifically, Consensys takes issue with the OCC's treatment of yield, DeFi integration, and issuer branding under the GENIUS Act.

According to the comment letter, the OCC's proposed rules would presume that certain arrangements with 'related third parties' amount to prohibited issuer-paid yield or interest. Consensys argues that this definition is too broad and could inadvertently restrict legitimate DeFi participation.