- Bipartisan crypto bill unveiled, impacting stablecoin yield deliberations.
- Banks may benefit from non-activity reward restrictions.
- Amendments possible, affecting bill’s current provisions.
A bipartisan 278-page crypto market structure bill has emerged in the U.S. Senate, placing limits on stablecoin yield payments, following intense negotiations between Republicans, Democrats, and crypto industry leaders..
The bill’s provisions could solidify banks’ roles in stablecoin markets and shape digital currency regulation, with Senators having 48 hours to propose amendments before its potential enactment.
Market Reactions and Legislative Developments
Market reactions are mixed, with some industry figures voicing concerns over the potential benefits to banks. Senator Boozman has stated, “We are finalizing a new draft for the January 15 markup based on the bipartisan discussions we had.” However, Senator Booker has yet to endorse it, which could pose challenges for bipartisan support and passage.
History and Analysis: Financial Institutions Poised for Gain
Did you know? In previous legislative efforts, banking institutions have often positioned themselves favorably in digital asset regulation by leveraging their existing frameworks to influence outcomes.
The bill follows prior efforts like the November 2025 bipartisan draft and the House’s CLARITY Act, which focuses on expanding the CFTC’s crypto oversight. It aims to limit non-bank firms’ reward offerings while allowing banks to engage in regulated stablecoin activities.
Experts suggest the regulatory shift could lead to a concentration of power in traditional financial institutions while constraining innovation within non-bank entities. Observers are monitoring potential amendments that may alter the current trajectory of the bill’s provisions. For more insights, you can read about the FDIC proposal for Genius Act application procedures.
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Source: https://coincu.com/news/bipartisan-crypto-bill-regulation/