Sen. Tillis aims to release draft resolving Clarity Act’s stablecoin yield dispute this week: report

U.S. Senator Thom Tillis (R-N.C.) intends to release a draft agreement this week to settle the ongoing dispute over stablecoin yields between banks and crypto firms, as reported by Politico. Tillis, working with Senator Angela Alsobrooks (D-Md.) on the Clarity Act, aims to resolve the debate on whether crypto companies can pay interest on idle stablecoin balances. While the draft has been reviewed by both banking and crypto representatives and has faced some pushback from banks, Tillis expressed optimism about the language and willingness to make further changes. This stablecoin reward debate is the most contentious issue within the Clarity Act, a bill designed to create comprehensive rules for the digital asset sector. The GENIUS Act previously banned stablecoin issuers from paying interest, but not third-party platforms. Banks argue that allowing such rewards would disrupt deposits, while crypto firms contend it would stifle innovation. Despite White House-led meetings, no agreement has been reached. The Clarity Act still faces significant legislative hurdles, including committee votes and reconciliation. Tillis also suggested a potential "crypto-palooza" event to facilitate discussions.

(Source：The Block)