Key facts
- Banking groups are lobbying for a stablecoin yield ban in the CLARITY Act.
- The Senate is currently focused on ethics and DeFi issues, impacting the crypto bill's timeline.
- The CLARITY Act needs to be merged with Agriculture Committee text before a floor vote.
- Odds of President Trump signing the bill this year have dropped below 50%.
- Lawmakers aim to pass the bill before the August recess.
Banking industry groups are intensifying their lobbying efforts to include a ban on stablecoin yields within the CLARITY Act, a significant cryptocurrency bill. This renewed push comes despite a compromise agreement reached earlier in the year. Crypto journalist Eleanor Terrett reported that state bankers' associations are actively engaging with Senate lawmakers on this specific provision.
JPMorgan CEO Jamie Dimon has publicly stated his opposition to the stablecoin yield clause, indicating continued resistance even after the bill cleared the markup stage. Sources suggest the issue remains a point of contention, with the potential to sway lawmakers outside the relevant committees as the bill moves toward a floor vote.
However, the legislative path for the CLARITY Act is becoming increasingly complex. Senate Republicans are currently prioritizing negotiations with Democrats on ethics and decentralized finance (DeFi) issues. Furthermore, the bill must be integrated with text from the Agriculture Committee before it can be scheduled for a floor vote.
Recent data from Polymarket indicates a decline in the perceived likelihood of President Trump signing the CLARITY Act into law this year, with odds falling below 50% from a high of 74% in May. Similarly, Galaxy Digital has revised its passage odds downward. Despite these challenges and a tight legislative calendar ahead of the August recess, some lawmakers, including Trump's crypto advisor Patrick Witt, express confidence in passing the bill by early July.