CLARITY Act Stablecoin Yield Draft Due This Week Ahead of Late-April Senate Banking Markup

Sen. Thom Tillis plans to release an updated CLARITY Act stablecoin yield and rewards draft this week as the Senate returns from Easter recess on April 13, with timing now pointing to a late-April Senate Banking Committee markup. The proposal follows months of talks with Sen. Angela Alsobrooks, with White House support in principle. The framework would ban passive CLARITY Act stablecoin yield paid simply for holding dollar-pegged tokens. Activity-based rewards tied to payments, transfers, and platform use would be allowed, while the SEC, CFTC, and Treasury would define permissible rewards and anti-evasion rules within 12 months after enactment. However, both sides remain divided. Coinbase told Senate staff it cannot support earlier wording, citing concerns over limits linked to balances and transaction sizes. Banking representatives are expected to push tighter restrictions during review. Key unresolved issues include DeFi provisions, ethics rules to prevent officials from profiting from crypto assets, and whether community-bank deregulatory language is bundled with a housing-related trade. The markup date is not set. Market pricing also remains cautious: Polymarket odds for a 2026 signing are 59% (down from 82% earlier this year). Sen. Bernie Moreno warned that if the bill misses the Senate floor before May, crypto legislation could stall until after the midterm cycle. For traders, the CLARITY Act stablecoin yield rules remain a major regulatory overhang, with near-term sentiment likely driven by markup timing and how restrictive the final limits become.