Cryptocurrency industry leaders are currently working on a counterproposal to push for some changes to the CLARITY Act after companies like Coinbase opposed stablecoin yield settlement. The move comes as the Senate prepares to release draft text of the cryptocurrency bill, likely to be tokenized in April.
Cryptocurrency leaders push for changes to the CLARITY Act
in Share XIndustry leaders are currently working on a coordinated counter-proposal, said cryptocurrency journalist Eleanor Therrett, citing David Dong, global head of investment research at Coinbase. They aim to use this counterproposal to explain why the cryptocurrency bill needs some changes to protect consumers and maintain sustainable rewards programs.
This step comes after Coinbase opposed stablecoin yield settlementwhich imposes a broad ban on how cryptocurrency companies distribute stablecoin rewards to customers. It is worth noting that it prohibits bonuses and dormant balances, and only allows activity-based bonuses that cannot be compared to interest on bank deposits.
Meanwhile, Teret revealed that Senator Thom Tillis’ office plans to publicly release the draft next week that includes details of stablecoin yield and reward provisions, even as talks with stakeholders continue. Senator Tillis and Senator Angela Alsobrooks reached an agreement with the White House last week to include language in the CLARITY Act to resolve the conflict between banks and the cryptocurrency industry over stablecoin rewards.
As CoinGape reported earlier today, Senator Tim Scott, Chairman of the Senate Banking Committee, highlighted this Provide crypto invoice. This came as he revealed that the White House, Republicans and Democrats are working together to draft mutually agreeable language to pass the Clarity Act.
Senator Lummis addresses protections for decentralized finance in cryptocurrency bill
Pro-crypto Senator Cynthia Lummis addressed speculation that the CLARITY Act contains provisions that undermine the Blockchain Regulatory Certainty Act (BRCA), which protects developers and provides safeguards. Decentralized finance (Davy).
She urged market participants not to believe the FUD, noting that they have been working on a bipartisan basis over the past few weeks to make changes to Title 3, thus making the cryptocurrency bill “the strongest protection for DeFi and developers.” We must pass the Clarity Act to get this protection.
Senator Lummis had also previously stated that a bipartisan compromise was necessary to pass the CLARITY Act. She also noted that they are working around the clock to ensure stablecoin rewards are protected and deposits are prevented from fleeing community banks. She added: “America’s financial future is at stake now, and we cannot wait until 2030 for another chance.”
It is worth noting that the odds of Trump signing the bill into law this year have dropped to 59%, according to Polymarket data. Optimism is fading once again as banks and the cryptocurrency industry have yet to reach a compromise on the latest draft, which could delay crypto bill tokenization, which is expected to take place next month.
