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Garlinghouse Rebukes Dimon as CLARITY Act Heads to Senate Floor

The fight over stablecoin yields could determine whether offshore crypto trading returns to U.S. venues.

Overview

  • Brad Garlinghouse, who publicly rebuked Jamie Dimon on June 11, accused the JPMorgan chief of misrepresenting the CLARITY Act’s anti-money-laundering effects.
  • Jamie Dimon has focused his criticism on a clause that would allow exchanges to pay yields on stablecoins and said the language risks weakening BSA and AML protections.
  • CFTC Chair Michael Selig pushed back on Dimon’s reading of the bill and defended the legislation’s goal of assigning clear jurisdiction between the SEC and the CFTC.
  • The bill passed the House and cleared the Senate Banking Committee on May 14, 2026 and now sits on the Senate calendar with contested amendments, inter-committee text differences, and roughly a 47% chance of passage in prediction markets.
  • If enacted the law would onshore large volumes of trading, permit yield-bearing stablecoin products that could compete with bank deposits, and put pressure on banks’ payments revenue which industry sources estimate in the tens of billions of dollars.