Tuesday, July 14, 2026

ABA, Banking Associations Push Back Against CLARITY Act Yield Provisions

  • The banking industry, led by the ABA, is pushing back against the yield provisions in the proposed CLARITY Act, arguing they could allow stablecoins to act as deposit substitutes.
  • Banking associations are urging for amendments to clarify prohibitions on stablecoin interest and yield to prevent 'deposit flight' and ensure stablecoins remain transaction tools.
  • The pushback highlights ongoing debates and uncertainties surrounding the regulation of digital assets in the US, with a House hearing scheduled and differing opinions from various stakeholders.

Topics: Legal regulatory, Jurisdictions, Institutional adoption, Securities law classification, Regulatory sandboxes pilots, Banking depository pilots

Tags: #clarityact #stablecoin #yieldprovisions #bankingindustry #depositsubstitutes #regulatoryframework #americanbankersassociation #jamiedimon #decentralizedfinance #fleoa

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