Senate Banking Committee chairman Tim Scott said on Tuesday that he believes that there is a chance that a compromise on a stablecoin yield payments provision could be reached this week.
This provision has been holding up the crypto market structure bill in the Senate for months.
“It feels like the big momentum is finally on our side,” he said. “I believe that this week we will have the first proposal in my hands to take a look at.”
The CLARITY Act would at last clarify the usage of cryptocurrencies in the US. It passed the House of Reps with bipartisan support in July. However, the bill was blocked in the Senate as banks lobbied lawmakers to add language that would bar crypto exchanges from paying interest on stablecoin deposits made by customers.
The banking groups claim that stablecoin interest payments are a loophole in the GENIUS Act, which bars stablecoin issuers from paying yield on stablecoins. They also claim this could have serious implications for the stability of the US banking system.
Meanwhile, crypto exchanges claim that yield payments are one of the best ways to …