Senators strike stablecoin‑yield deal for Clarity Act
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- Senator Angela Alsobrooks said she is working with Senator Thom Tillis on a stablecoin‑yield compromise that aims to guard deposits while allowing crypto innovation, noting both sides will be “just a little bit unhappy.”
- The American Bankers Association is lobbying to close any stablecoin‑yield loophole in the Digital Asset Market Clarity Act, while senators at its summit announced a compromise to move the bill forward.
- Rob Nichols, ABA President, warned that unless crypto exchanges are bound by the same restrictions as payment stablecoin issuers under the GENIUS Act, the yield ban could be evaded.
- Senator Mike Rounds expressed uncertainty about how to regulate stablecoin rewards, suggesting that rewards should be tied to account activity rather than balance.
- Jamie Dimon, CEO of JPMorgan Chase & Co., indicated his bank could accept transaction‑based rewards, aligning with the crypto industry’s proposal discussed at White House meetings.
- Office of the Comptroller of the Currency proposed a rule adopting much of the GENIUS Act but left its stance on stablecoin rewards ambiguous, prompting industry insiders to claim they can design compliant incentive programs.
- Senate Banking Committee plans a markup hearing on the revised crypto Clarity Act, after which the bill could be merged with a version cleared by the Senate Agriculture Committee and sent to the full Senate for a vote.
Why it matters: Banks gain guardrails that limit stablecoin‑yield products from siphoning deposits, while crypto platforms keep limited ability to offer activity‑based rewards, preserving a revenue stream and keeping the Digital Asset Market Clarity Act on track for a 2026 Senate vote that would need a sizable Democratic majority.
