Stablecoin Deal May Push Crypto Bill Forward

Senators Tillis and Alsobrooks have reached a pivotal agreement on how stablecoins can earn rewards, potentially clearing a major hurdle in the Digital Asset Market Clarity Act.

• Bank Concerns: Banks worry that rewards on stablecoins resemble interest on deposits.
• Impact on Lending: If the bill blocks these rewards, it could hurt U.S. lending.

Both senators emphasized a solution that protects banks while preserving innovation. The White House is reviewing the updated text, but no public version has been released yet.

Industry experts confirm a compromise exists, though the exact language remains unseen. Other issues linger:

• The bill also addresses decentralized finance, raising concerns about potential illicit use.
• A Senate Banking Committee hearing is expected soon.
• Upon approval, the bill will move to the full Senate floor and must merge with a similar version from the Agriculture Committee.
• Lawmakers aim to finish by May, but Senate time is limited. Other priorities—such as voter‑ID rules and foreign policy matters—could delay progress.