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Senate Stablecoin Deal Revives CLARITY Act Path to Markup

Regulators now face pressure to draw a clear line that separates interest-like payouts from activity rewards.

Overview

  • Senators Thom Tillis and Angela Alsobrooks released compromise text Friday that bans passive, deposit‑style yield on stablecoin balances while allowing rewards tied to bona fide platform use.
  • Coinbase urged the Senate Banking Committee to move the bill forward and its shares rose about 7.6% Monday after the compromise reduced a key overhang for its business.
  • Committee watchers say a markup could be scheduled as soon as the week of May 11, though as of Monday the panel had not posted a session on its public calendar.
  • The bill directs Treasury and the CFTC to define what counts as an interest‑equivalent reward and to set disclosure rules, with banks lobbying for strict interpretations to shut down workarounds.
  • Platforms will need to shift from “buy‑and‑hold” incentives to “buy‑and‑use” programs, which means customers can still earn perks for trading, staking, payments or governance rather than for simply parking stablecoins.