Coinbase chief legal officer Paul Grewal said the US Digital Asset Market CLARITY Act is “moving toward” a markup hearing in the Senate Banking Committee and could advance to a floor vote if senators resolve the stablecoin yield dispute and schedule a markup.
In a Fox Business interview, Grewal said lawmakers are nearing agreement on the bill’s core elements even as debate continues over stablecoin yield. “I think we’re very close to a deal,” he said.
The comments highlight progress on one of the key sticking points in Senate talks: whether stablecoin issuers or platforms should be allowed to offer yield or similar rewards. That dispute has delayed a Senate Banking Committee markup and left the broader effort to set federal digital-asset rules unresolved.
US banks have pushed for limits, arguing such incentives could pull deposits from traditional institutions and unsettle the banking system. Grewal disputed that, saying there’s no evidence supporting fears of deposit flight.
The US House passed the CLARITY Act on July 17, 2025. In January, Senate Banking Committee Chair Tim Scott delayed a planned markup, which has not yet been rescheduled.
Last month, President Donald Trump accused banks of undermining the bill’s progress, saying they were blocking passage over stablecoin yield disagreements. It was later reported Trump met privately with Coinbase CEO Brian Armstrong hours before issuing the statement.
In January, Armstrong said Coinbase could not back the market-structure bill “as written,” citing draft amendments that would eliminate stablecoin rewards and allow banks to restrict competition.
Coinbase shares are down 23% year-to-date. Source: Yahoo! Finance
Coin Center executive director Peter Van Valkenburgh warned that failure to pass the CLARITY Act could leave the crypto industry vulnerable to a future administration taking harsher action. He argued that rejecting developer protections for short-term business interests risks creating rules shaped by political shifts rather than clear law. “The point of passing CLARITY is not to trust this administration. It is to bind the next one,” he said.
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