Across California’s Central Valley, access to capital isn’t just an economic issue—it’s a survival issue. From family farms in Fresno County to small manufacturers in Tulare and startups in Bakersfield, our regional economy depends on reliable, relationship-based banking. Yet today, a growing threat is quietly emerging: underbanking, driven not by lack of demand, but by policy choices that risk pulling resources out of our local financial system.
At the center of this conversation is the GENIUS Act, Congress’s attempt to bring structure to the fast-growing stablecoin market. The goal is reasonable—create clarity for digital assets while supporting innovation. But as currently written, the bill contains serious gaps that could unintentionally harm the very communities policymakers aim to support.
One concern is a provision allowing third parties to offer rewards for holding stablecoins. While that may sound like a harmless incentive, it creates a powerful draw for consumers and businesses to move their money out of traditional banks and into digital platforms. That shift may benefit fintech ecosystems—but it comes at a cost to local economies like ours…