Overview
- Senate Banking Chair Tim Scott said he expects to review the first stablecoin-yield proposal this week, and a source told Decrypt the White House could preview an update as soon as Wednesday.
- Analysts warn the bill’s 2026 prospects plunge if it does not clear the Senate Banking Committee by late April, with prediction markets showing falling odds of passage this year.
- The yield question remains the principal obstacle, with Senators Thom Tillis and Angela Alsobrooks working closely with Senate leaders and the White House on language acceptable to banks and crypto firms.
- Coinbase withdrew support in January over potential limits on stablecoin rewards and DeFi, prompting a canceled markup, and the exchange has not re-endorsed the Senate draft.
- Negotiators are weighing a compromise that would prohibit yield on idle balances yet allow activity-based rewards, while separate disputes over DeFi rules, regulatory authority, and Treasury’s draft freeze powers still need resolution.