Banks Escalate Stablecoin Rewards Fight Ahead of Senate Clarity Act Vote

Major banks are intensifying their lobbying efforts against stablecoin reward programs as the U.S. Senate prepares to vote on the Clarity Act. Financial institutions argue that yield-bearing stablecoins could undermine traditional banking deposits and create systemic risks. Meanwhile, crypto advocates contend that stablecoin rewards are a legitimate feature of digital asset innovation and should not be restricted. The upcoming Senate vote on the Clarity Act is expected to shape the regulatory landscape for stablecoins, including whether issuers can offer interest or rewards to holders. Market participants are closely watching the developments, as the outcome could impact stablecoin adoption and the broader crypto market, including BTC and ETH sentiment.