[Paradigm Vice President of Government Affairs: Limiting Stablecoin Rewards to Transaction Triggers is Economically Illogical] Odaily Planet Daily reports that Alexander Grieve, Vice President of Government Affairs at Paradigm, stated in an article that certain banking lobbying groups are pushing to tighten the existing arrangements of the stablecoin reward mechanism under the GENIUS Act in crypto market structure legislation. They are attempting to restrict stablecoin rewards solely to 'merchant-facing transaction activities,' a move that is economically illogical. Grieve argued that comparing stablecoins to credit card products reflects a regulatory misalignment. Stablecoins are essentially 'debit-like' tools, with their core revenue source not being transaction fees but rather the continuous yield generated by reserve assets (such as U.S. Treasury bonds) during the holding period. Their value is tied to the scale of assets, not transaction frequency. Restricting rewards to consumption scenarios would effectively impose a 'hidden holding tax' on stablecoin holders, allowing intermediaries to retain the benefits. He pointed out that this approach would not only disadvantage individual and corporate users but could also weaken the international competitiveness of the U.S. stablecoin ecosystem, driving capital and business activities overseas. Grieve emphasized that the economic mechanism of stablecoins should be designed around the characteristic of 'holding generates value.' Otherwise, it would undermine the original legislative intent of the GENIUS Act, which aims to promote innovation.