U.S. officials, banking representatives, and crypto industry groups met at the White House to discuss the treatment of stablecoin rewards under proposed digital-asset market-structure legislation. This meeting addresses a major sticking point for advancing the bill.
The discussions centered on whether stablecoin incentives can be structured without classifying issuers as deposit-taking institutions, a move that could blur the lines between payment instruments and traditional bank deposits.
Banks have expressed concerns that these rewards could mimic interest-bearing deposits. Conversely, crypto firms argue that prohibiting rewards would hinder the utility of dollar-pegged tokens and risk driving innovation overseas.
While no agreement was reached, the dialogue is described as a "focused working engagement." Further talks are anticipated as the industry and regulators seek a framework to support American consumers and maintain U.S. competitiveness in digital asset innovation. The resolution of this issue is critical for the CLARITY Act to advance in the current legislative session.