CLARITY Act Deal Over Stablecoin Rewards Expected This Week, Coinbase CLO Says
Highlights
- Coinbase CLO Paul Grewal said that a deal on stablecoin rewards could happen within the next 48 hours.
- He also expects the markup to hold this month.
- The odds of the crypto bill being signed into law this year is currently at 51%.
Coinbase Chief Legal Officer (CLO) Paul Grewal has said that the CLARITY ACT deal over stablecoin yields could happen by Friday this week. This provides some optimism that the crypto bill’s markup could hold this month, even as crypto traders reduce their bets on Trump signing the bill into law this year.
Coinbase CLO Says CLARITY Act Deal To Happen By Friday
In a FOX Business interview, the Coinbase CLO said he is confident that the CLARITY Act deal on stablecoin yields will happen within 48 hours. This came as he noted that they need to finish the job with this crypto bill after last year’s passage of the GENIUS Act.
He acknowledged that passing the GENIUS Act last year was a “watershed” moment for crypto, but that the CLARITY Act is very important as it provides a comprehensive market structure for the crypto industry. Grewal added that the market structure bill is most important, especially for determining which tokens fall under the SEC’s jurisdiction and which fall under the CFTC’s.
The Coinbase CLO also expressed confidence that the Senate Banking Committee could hold the CLARITY Act’s markup this month after the Senate returns from recess. The floor vote could happen soon after the markup phase, before it eventually reaches Trump’s desk for signing.
The provision on the stablecoin rewards has notably been the major obstacle to the crypto bill’s progress, with banks and the crypto industry clashing over whether crypto firms should be able to distribute yields to customers.
The stablecoin yield clash again heated up last week, with crypto stakeholders, including Coinbase, reportedly opposing the latest draft. However, Grewal’s comments indicate that the banks and the crypto industry are now close to reaching an agreement.
Senate Not Expected to Release Draft Text This Week
According to a Crypto in America report, the Senate is no longer expected to release the latest draft text of the CLARITY Act this week, citing a spokesperson for Senator Thom Tillis. Citing a source familiar with the matter, the report stated that this delay reflects concerns that releasing the text way ahead of the markup could give opponents an opening to slow the bill’s progress.
Crypto in America also reported that talks between the crypto and banking groups have continued in recent days, following opposition to the earlier draft that Senators Tillis and Angela Alsobrooks agreed to. CoinGape had earlier reported that crypto leaders were going to propose changes even amid earlier plans to release the latest draft text.
Amid these talks, crypto traders are paring their bets on the CLARITY Act passing this year. There is currently a 51% chance that Trump will sign the bill into law this year, according to Polymarket data.
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