Industry Reacts to Market Structure Provisions on Stablecoin Rewards

As US senators prepare to mark up the Digital Asset Market Clarity Act, industry leaders are reacting to provisions that would generally prohibit digital asset service providers from paying interest or yield solely for holding a payment stablecoin. However, the draft allows for structured reward mechanisms tied to ecosystem participation like providing liquidity or staking. Coin Bureau co-founder Nic Puckrin suggested this compromise balances industry needs for yield flexibility against lobbying resistance from banks concerned about deposit competition. The bill faces hurdles, including a markup in the Senate Banking Committee this Thursday; failure in either the Banking or Agriculture Committee could derail market structure legislation for the current session. Additional roadblocks include demands from some Democrats for safeguards against public officials profiting from digital assets and uncertainty surrounding the upcoming midterm elections.

(Source：Cointelegraph)