cryptoconservative
New Rules Could Shake Up Stablecoin Rewards
United States, Washington, D.C., USASaturday, February 28, 2026
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The Treasury Department has drafted a 376‑page set of rules under the GENIUS Act that may limit how stablecoins can offer returns to holders.
The proposal, released by the Office of the Comptroller of the Currency, will be open for public comment for 60 days.
Targeted Arrangements
- Third‑party revenue sharing: The rules specifically target arrangements where a third party passes earnings from stablecoin reserves onto users.
Potential Impact on Coinbase
- Current model: Coinbase, in partnership with Circle, gives users about a 4% yield on USDC deposits.
- Revenue sharing: The new rules could force Coinbase to rethink how it shares revenue from those yields.
- Financial stakes: Coinbase earned $1.3 billion from stablecoins last year, citing USDC rewards as a key growth engine for 2025.
- Response: Coinbase has not yet responded to inquiries about the potential changes.
Mixed Reactions
| Stakeholder | Viewpoint |
|---|---|
| Crypto lawyer | Believes the rules will affect Coinbase but expects legal challenges to push revisions. |
| Circle leaders | Praised the regulator for moving forward and see it as a step toward modernizing finance online. |
| Banking lobbyists | Skeptical; argue restrictions could let stablecoins lure customers away from traditional bank accounts that offer lower returns. |
| Banking sector source | Says the new rules do not close all loopholes and that permanent legal limits are preferred. |
| White House | Trying to mediate stalled negotiations between banks and crypto firms over stablecoin yields. |
| Law professor | Notes the proposal does not settle the conflict between the two sides. |
Ongoing Debate
The debate over stablecoin rewards continues as regulators, banks, and crypto companies weigh the implications of the new rules.
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