Congress screwed up on the GENIUS act: stablecoin holders have fifth priority
semiquaver Friday, December 12, 2025
Summary
The article discusses how the Bankruptcy Code's Genius Act grants stablecoin holders only fifth priority in an issuer's bankruptcy, contrary to the commonly held belief that they have a higher priority. This could have significant implications for those who hold stablecoins, as their claims may be subordinated to other creditors in the event of an issuer's insolvency.
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