{"id":16482,"date":"2026-03-27T08:35:10","date_gmt":"2026-03-27T15:35:10","guid":{"rendered":"https:\/\/jasonsblog.ddns.net\/?p=16482"},"modified":"2026-03-27T08:35:10","modified_gmt":"2026-03-27T15:35:10","slug":"coinbase-opposes-stablecoin-compromise-in-senate-crypto-bill","status":"publish","type":"post","link":"https:\/\/jasonsblog.ddns.net\/index.php\/2026\/03\/27\/coinbase-opposes-stablecoin-compromise-in-senate-crypto-bill\/","title":{"rendered":"Coinbase Opposes Stablecoin Compromise in Senate Crypto Bill"},"content":{"rendered":"\n

Coinbase is a bad actor in this space, so it’s interesting they seem to be the most vocal in opposing the bad version of the bill, perhaps trying to get back credibility. And it’s just rich that the banks don’t want to allow stablecoins to pay returns as they’re backed 100% by US treasuries which pay returns. They were floating 4% returns which would slay most banking accounts that don’t pay very much, while banks only hold 10% reserves (your savings), having lent out rest so they get higher returns thus creating a lot of money out of thin air through fractional reserve banking. So notice the banks fighting hard so you can’t have an option that would help you fight inflation that they are responsible for, because they’re afraid people will move their savings they take advantage of. Consequently, Bitcoin<\/a> is a better place to put money as it’s an exit from this corrupt system, and they can’t take it from you or prevent you from transacting with it… And with Square turning on Bitcoin Lightning payments at the end of the month, you’ll be able to transact at many businesses directly with Bitcoin soon. <\/p>\n\n\n\n

https:\/\/cointelegraph.com\/news\/coinbase-opposes-latest-crypto-bill-stablecoin-compromise-report<\/a><\/p>\n\n\n

<\/div><\/div><\/div>\n\n\n
Coinbase is reportedly still pushing back against stablecoin yield provisions in the Senate\u2019s crypto market structure bill, a move that has derailed past efforts to advance the legislation.<\/h5>\n\n\n\n
\"Coinbase<\/figure>\n\n\n\n

Crypto exchange Coinbase is reportedly against the latest compromise over stablecoin yields that the Senate is looking to include in its crypto market structure bill.<\/p>\n\n\n\n

Coinbase representatives told Senate lawmakers in a meeting on Monday that they had concerns over the language around stablecoin yields in the new compromise version of the bill, Punchbowl News reported<\/a> Wednesday, citing four people briefed on the exchange.<\/p>\n\n\n\n

A proposal that circulated earlier this week would have reportedly prevented third parties, such as exchanges, from paying stablecoin yields<\/a>, a measure aimed at addressing banks\u2019 concerns over the risk of deposit flight.<\/p>\n\n\n\n

Coinbase is one of the largest crypto lobbyists in the US, and its withdrawal of support<\/a> for the bill in January came just before the Senate Banking Committee indefinitely postponed a markup to advance the legislation.<\/p>\n\n\n\n

Republican Senator Thom Tillis and Democratic Senator Angela Alsobrooks are leading the latest effort<\/a> to advance the bill, and talks are reportedly ongoing. Coinbase did not immediately respond to a request for comment.<\/p>\n\n\n\n

\"Coinbase,
Senator Alsobrooks, pictured at a banking event in early March, said the compromise bill may leave both crypto and the banks unhappy. Source: <\/em>American Bankers Association<\/em><\/a><\/figcaption><\/figure>\n\n\n\n

Yield fight plagues Senate bill<\/h2>\n\n\n\n

The fight between the crypto and banking lobbies over the Senate\u2019s bill, which aims to outline how regulators should approach crypto, has largely revolved around stablecoin yields.<\/p>\n\n\n\n

The White House has hosted at least three meetings<\/a> for the groups to agree on a compromise, which has yet to materialize.<\/p>\n\n\n\n

Banking groups argue that stablecoin yield payments by exchanges are a loophole in the GENIUS Act, which banned stablecoin issuers from paying yield to holders, and present a risk of deposit flight from the banking system.<\/p>\n\n\n\n

Stablecoin yields are a major business for crypto exchanges, and the crypto lobby has argued that the risks are overstated and has accused the banks of anticompetitive behavior.<\/p>\n\n\n\n

Republicans are pushing to pass the bill ahead of the midterms, where the makeup of Congress could change and derail momentum around the legislation. The House passed its version of the bill, called the CLARITY Act, in July.<\/p>\n\n\n\n

Patrick Witt, the executive director of the President\u2019s Council of Advisors for Digital Assets, posted<\/a> to X on Wednesday that there was \u201cplenty of uninformed FUD [fear, uncertainty and doubt] circulating on social media this week.\u201d<\/p>\n\n\n\n

\u201cIt\u2019s all going to work out. Bullish,\u201d he added.<\/p>\n\n\n\n

Republican Senator Cynthia Lummis also posted<\/a> to X on Wednesday that \u201cwe can\u2019t wait until 2030 for another chance\u201d to pass the crypto bill. <\/p>\n\n\n\n

\u201cBipartisan compromise is necessary for the Clarity Act to pass,\u201d she added. \u201cWe\u2019re working around the clock to ensure stablecoin rewards are protected and to prevent deposit flight from community banks.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"

Coinbase is a bad actor in this space, so it’s interesting they seem to be the most vocal in opposing the bad version of the bill, perhaps trying to get back credibility. And it’s just rich that the banks don’t want to allow stablecoins to pay returns as they’re backed 100% by US treasuries which […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[6,7],"tags":[],"class_list":["post-16482","post","type-post","status-publish","format-standard","hentry","category-tech","category-world"],"blocksy_meta":[],"featured_image_src":null,"author_info":{"display_name":"Jason","author_link":"https:\/\/jasonsblog.ddns.net\/index.php\/author\/jturning\/"},"_links":{"self":[{"href":"https:\/\/jasonsblog.ddns.net\/index.php\/wp-json\/wp\/v2\/posts\/16482","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/jasonsblog.ddns.net\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/jasonsblog.ddns.net\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/jasonsblog.ddns.net\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/jasonsblog.ddns.net\/index.php\/wp-json\/wp\/v2\/comments?post=16482"}],"version-history":[{"count":1,"href":"https:\/\/jasonsblog.ddns.net\/index.php\/wp-json\/wp\/v2\/posts\/16482\/revisions"}],"predecessor-version":[{"id":16483,"href":"https:\/\/jasonsblog.ddns.net\/index.php\/wp-json\/wp\/v2\/posts\/16482\/revisions\/16483"}],"wp:attachment":[{"href":"https:\/\/jasonsblog.ddns.net\/index.php\/wp-json\/wp\/v2\/media?parent=16482"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/jasonsblog.ddns.net\/index.php\/wp-json\/wp\/v2\/categories?post=16482"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/jasonsblog.ddns.net\/index.php\/wp-json\/wp\/v2\/tags?post=16482"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}