Bank guarantees, on the other hand, are forever. From the first days of federal deposit insurance in 1933 to the present, the government has never, not once, lowered its official guarantees to banks.

The Genius Act, which regulates stablecoins, could set the stage for financial panics and unsafe lending practices.

As a result, some banks in the U.S. collapsed after large-scale deposit runs during the banking crisis in March, although there were other reasons that led to their demise aside from just higher ...