CLARITY Act yield rules dey move toward Senate approval, banks dey push back

CLARITY Act dey near progress for U.S. Senate after Senators Thom Tillis and Angela Alsobrooks agree one “final” bipartisan compromise, even though bank groups oppose am. Main changes for CLARITY Act (Section 404) go stop digital asset service providers from dey pay U.S. customers interest or passive yield just because dem hold stablecoins. The draft also ban rewards wey fit be economically similar to interest on U.S. bank deposits. Instead, the bill go allow “real” rewards when dem tied to actual platform use (like activity and transfers), not idle balances. Bank groups dey argue say the language still too loose and dem cite one study wey claim stablecoins wey earn yield fit reduce consumer, small-business, and farm loans by as much as 20%, so dem dey push for tighter restrictions. Tillis and Alsobrooks talk say dem go move forward “respectfully” while dem still disagree so nothing go delay again. Senators Cynthia Lummis and Tim Scott talk confident say CLARITY Act fit pass before the August recess. Market read-through: Polymarket odds pase as 70% (up 24% for the week), meaning confidence dey rise for a 2026 timeline. For traders, the direction of stablecoin regulation matter for stablecoin APYs, where liquidity dey park, and how compliant yield products go reprice—though the immediate headline na policy, no be BTC spot driver.