US crypto regulatory clarity nears passage; stablecoin yield dispute

US crypto regulatory clarity is getting closer as Congress advances a sweeping digital asset bill after earlier deadlocks narrowed. Patrick Witt, Donald Trump’s top crypto advisor, said many of the originally disputed items have been addressed as lawmakers returned from recess. A Senate committee is expected to hold a hearing to amend and vote. The draft would define oversight boundaries between the US SEC and the CFTC, set exchange standards, and establish disclosure requirements. Traders are watching the remaining high-impact issues inside US crypto regulatory clarity talks—especially stablecoin rules. Stablecoin policy is still contested. A July law bars issuers from paying interest directly to holders, but third-party platforms (including Coinbase) can still offer rewards. Crypto firms argue limits could slow innovation, while banking groups warn yield-bearing stablecoins could pull deposits away from traditional institutions. A White House economic report said stablecoin rewards may have limited effects on lending, but the American Bankers Association argued rapid adoption could accelerate deposit migration. Another dispute involves protections for software developers, after law enforcement raised concerns that some provisions could hinder investigations into illicit activity. Crypto advocates warn overly broad rules could discourage open-source development. Ethics and market trust are also under debate, including Anthony Scaramucci’s concerns about memecoin launches tied to political figures. Overall, US crypto regulatory clarity appears improved versus prior months, but timing (committee hearings and amendments) and stablecoin yield specifics could drive near-term volatility.