The White House has narrowed discussions with crypto and banking lobbyists to a proposal that would allow stablecoin rewards only on transaction activity, as lawmakers seek to advance a stalled crypto market structure bill.
Industry representatives met for the third time in 16 days to address stablecoin provisions that have held up Senate efforts to define how US regulators will oversee digital assets, with no agreement reached but signs of progress reported.
“We rolled up our sleeves and went through specific language today,”
Said Stuart Alderoty, while Paul Grewal described the meeting as “constructive and the tone cooperative.”
White House crypto adviser Patrick Witt reportedly drove the latest talks, urging a trade-off that would permit third parties such as exchanges to offer rewards tied to transaction activity but not on idle stablecoin balances.
“Earning yield on idle balances, a key crypto industry goal, is effectively off the table,”
Journalist Eleanor Terrett said, adding that:
“the debate has narrowed to whether firms can offer rewards linked to certain activities.”
The House previously passed a similar bill, known as the CLARITY Act, in July, but the Senate Banking Committee has yet to secure sufficient bipartisan backing to move its version forward.
Banking groups including the Bank Policy Institute, the American Bankers Association and the Independent Community Bankers of America participated in the talks and are expected to continue discussions in the coming days as negotiations over stablecoin rewards intensify.