Less regulated? Circle has to keep 100% reserves backing all accounts whereas most US banks operate a low fractional reserve and lend mostly to billionaires funding moderately risky leveraged commercial real estate.

You’re conveniently ignoring what “reserves” means in the GENIUS act. Unlike regular banks, Circle can use US Treasuries instead of cash so that they earn interest and prop up US government debt at the same time. It’s a clever scheme, but not the same as being forced to hold fiat reserves.

Many other banking regulations also don’t apply. No FDIC insurance and most importantly none of the regulations that apply to true fiduciaries since they are only “custodians”.

Yep, I mean regulated with respect to who's allowed to offer and hold digital accounts in the currency. Circle itself may not do anything too funky, but big chunks of USD then get stored elsewhere online for banking-like activity in a way that wouldn't be legal with USD — right?