The deal is a bipartisan agreement of two members of the Senate Banking Committee and the White House. Unclear yet whether it is supported by industry (crypto or banking), but Coinbase tweeted that the language was a victory for crypto. [https://x.com/brian_armstrong/status/2050325975226081308?s=20](https://x.com/brian_armstrong/status/2050325975226081308?s=20)
Having read the proposed section, I can unequivocally say it does not meaningfully prohibit third-parties from offering yield on customer stablecoin holdings. There are a host of permissible activities that generate returns that can be distributed to depositors as well as a clarifying clause that those distributions can be linked to account balances and duration.
Given that is essentially fully allowing yield on stablecoin deposits, one presumes the banking industry will oppose.
1 Comment
The deal is a bipartisan agreement of two members of the Senate Banking Committee and the White House. Unclear yet whether it is supported by industry (crypto or banking), but Coinbase tweeted that the language was a victory for crypto. [https://x.com/brian_armstrong/status/2050325975226081308?s=20](https://x.com/brian_armstrong/status/2050325975226081308?s=20)
Having read the proposed section, I can unequivocally say it does not meaningfully prohibit third-parties from offering yield on customer stablecoin holdings. There are a host of permissible activities that generate returns that can be distributed to depositors as well as a clarifying clause that those distributions can be linked to account balances and duration.
Given that is essentially fully allowing yield on stablecoin deposits, one presumes the banking industry will oppose.