Stablecoins face rewards review in White House’s third talks
The post Stablecoins face rewards review in White House’s third talks appeared on BitcoinEthereumNews.com.
What changed at the latest stablecoin yield and rewards meeting Representatives from Coinbase, Ripple, a16z crypto, and others joined a white house session focused on stablecoin yield and rewards. The meeting was described as the third in this series and scheduled for 9:00 a.m. ET, as reported by LiveBitcoinNews. The latest conversation followed two prior meetings that did not resolve core tensions between crypto platforms and banking groups, according to news/white-house-to-host-third-stablecoin-yield-meeting/amp/” target=”_blank” rel=”nofollow noopener”>Coinpedia. The new session moved the discussion from broad “yield” to a narrower split between rewards tied to activity and interest on idle balances. The policy debate has now centered on whether to permit activity-based rewards while keeping a ban on interest for simply holding stablecoins, per Cointelegraph. Banking representatives have signaled openness to restricting idle-balance interest, while crypto firms pressed to preserve limited, programmatic rewards under clear disclosures. Why it matters for users and platforms For users, the distinction between rewards for activity and interest on idle balances may determine whether stablecoin holdings can earn programmatic benefits without resembling bank deposits. Consumer outcomes could hinge on disclosures and how “activity” is defined. For platforms, permissible rewards could shape product design and U.S. competitiveness. Banking trade groups have urged a broad prohibition on stablecoin rewards to mitigate deposit-flight risk and maintain regulatory parity, according to the American Bankers Association. BingX: a trusted exchange delivering real advantages for traders at every level. Coinbase and Ripple participated in the talks, suggesting product roadmaps may be adjusted to reflect an allowance for activity-based rewards, if adopted. Any final framework could require robust disclosures, emphasizing differences from issuer-paid interest. Banks appear focused on ensuring idle-balance interest remains prohibited and that any rewards are tightly circumscribed. Their position indicates continued advocacy for sector parity and guardrails that minimize deposit displacement. At the…
Filed under: News - @ February 20, 2026 6:27 am