Banks Say Stablecoin Yield Language Falls Short, Senator Tillis Disagrees
BeInCrypto
Major US banking groups argue proposed Clarity Act language on stablecoin rewards is insufficient, while Senator Thom Tillis defends the bipartisan compromise.Summary
Five leading US banking trade associations have criticized the Clarity Act’s proposed language regarding stablecoin yield, arguing it creates loopholes that could lead to deposit flight. The groups contend that provisions allowing rewards for on-platform activity mimic bank interest and must be tightened to protect community lending. Senator Thom Tillis, who helped negotiate the compromise, defended the legislation, noting that banks had extensive input during talks and arguing that the bill successfully prevents stablecoin rewards from functioning like traditional bank deposits.
(Source：BeInCrypto)