OCC Stablecoin Proposal Targets Yield, Sets Stage for CLARITY Act
The OCC proposed rules to implement the GENIUS Act, effectively banning yield on payment stablecoins and potentially clearing the path for the CLARITY Act.Summary
The US Office of the Comptroller of the Currency (OCC) has released a 376-page proposal to implement the Guiding and Establishing National Innovation for US Stablecoins (GENIUS) Act, aiming to resolve the debate surrounding stablecoin yield. The proposal, open for 60 days of public comment, prohibits OCC-supervised entities from paying any interest or yield on payment stablecoins. This aligns with section 4(a)(11) of the GENIUS Act. The OCC also established a rebuttable presumption that paying yield to affiliates who then distribute it to stablecoin holders constitutes a violation of the ban. However, the proposal includes carve-outs for merchant discounts and whitelabel arrangements with non-affiliate partners. This move is expected to influence the ongoing debate around the CLARITY Act, potentially allowing it to proceed without provisions for stablecoin yield, a point of contention for companies like Coinbase who advocate for offering yield on stablecoin balances.
(Source：Cointelegraph)