Coinbase CLO: Clarity Act deal on stablecoin yield ‘very close’

Paul Grewal, chief legal officer at Coinbase, said lawmakers are “very close to reaching an agreement” on the Clarity Act, a cryptocurrency market structure bill that would… Stable coin The yield provisions have sparked strong opposition from the banking sector concerned about potential deposit outflows to cryptocurrency platforms.

Talk about the Bills’ prospects Fox BusinessGrewal expressed confidence that negotiators would work to bridge the gap. “We’re seeing real recognition of the importance of rewards, but also other key elements of the bill are critical to making sure President Trump’s vision of the United States as the cryptocurrency capital of the world is realized,” he said.

The Coinbase executive directly addressed the core concerns of the banking industry. “I can understand the theoretical argument that stablecoins somewhat pose a deposit flight risk from banks, especially community banks,” Grewal said. He added: “But if this were the case, we would see evidence of this. In fact, there is no evidence of deposit flight at all.”

The legislative timeline could move quickly, with Grewal anticipating a move toward a sideline hearing in the Senate Banking Committee, “hopefully in the next few weeks, and eventually a vote.” He added that he is “very confident that we will see progress” on the stablecoin return agreement within the next 48 hours. In follow up tweetCongress is “ready to act,” Grewal said.

The debate over stablecoin return limits has proven contentious enough that the Senate Banking Committee Canceled A hearing is scheduled on the bill in mid-January. Senators Thom Tillis (R-N.C.) and Angela Alsobrooks (D-Md.) later Draft text of a negotiated settlement Late March, empowered “Agreement in principle.” With the White House.

The legislative outcome carries significant financial implications for Coinbase, whose stock has fallen 50% over the past six months amid regulatory uncertainty.

Prediction markets are showing increasing confidence in Bill’s prospects, with Polymarket traders giving Clarity Bill a chance 65% chance of President Trump signing the law this year, up from lows of 48% yesterday. The legislation will provide regulatory clarity that could allow US cryptocurrency exchanges to compete with offshore platforms that offer products with stable coin yields, a key revenue driver that companies like Coinbase have not yet been able to fully deploy locally.

Controversy over the stablecoin return provisions of the Clarity Act has sparked turmoil in the markets, with The department’s stock falls 20% When investors learned of the potential restrictions, while… Ethereum funds lost $222 million With crypto bill concerns, it has traders worried. The legislation faces a The main vote is in April and must pass by MayOtherwise, “digital asset legislation will not be passed in the foreseeable future,” according to Sen. Bernie Moreno (R-Ohio).