According to Crypto In America, Congress is on a two-week recess for Easter, but behind-the-scenes work on the Clarity Act is set to accelerate. Senators are expected to release the final legislative text this week, detailing the revised compromise on stablecoin yields and rewards, including how cryptocurrency companies can offer rewards without causing deposits to flee from banks. The revised version stems from dissatisfaction in the industry with a previously agreed draft by Senators Thom Tillis (R-NC) and Angela Alsobrooks (D-MD) along with the White House. Some stakeholders, including Coinbase and Stripe, expressed opposition to the draft after review. Under previous proposals, companies would be prohibited from offering yields on passive stablecoin balances or any similar interest-like products, but activity-based rewards would still be allowed. Given that the Senate Banking Committee currently plans to conduct possible reviews in the last two weeks of April, this means the industry and legislators have about three weeks to resolve other outstanding issues before pushing the Clarity Act from the committee to the full Senate for consideration. Pending issues surrounding decentralized finance (DeFi), token classification, and tokenization are expected to influence the final days before Chairman Tim Scott (R-SC) schedules the review date.
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