Stablecoins see yield limits debated in White House talks
The post Stablecoins see yield limits debated in White House talks appeared on BitcoinEthereumNews.com.
Crypto market structure bill expected to pass within months A crypto-policy-report/”>white house advisor and a former House Financial Services Committee chair signaled that comprehensive crypto market structure legislation is on a months‑long path. Patrick McHenry has targeted a formal introduction before Memorial Day 2026, as reported by Bitget News. Progress still depends on resolving technical definitions and supervisory scope. Ambiguities around yield treatment, token categories, and the SEC vs CFTC split remain central holdups, as reported by Decrypt. Why it matters: stablecoin yield and SEC vs CFTC jurisdiction Banks are pressing for limits on yield‑bearing stablecoins to protect deposits, while crypto firms argue yield is foundational to on‑chain liquidity and market efficiency, according to CCN. Any statutory cap or licensing trigger tied to “yield” could reshape product design across exchanges, custodians, and DeFi interfaces. The SEC vs CFTC jurisdictional boundary remains pivotal because it determines disclosure, custody, and market‑abuse regimes. A clearer separation of investment contracts (securities) from commodities‑like tokens could anchor listing, safekeeping, and derivatives rules without overreaching into protocol code. White House voices have underscored that compromise will be necessary to avoid extended limbo. “There will be a crypto market structure bill , it’s a question of when, not if,” said Patrick Witt, a White House digital‑assets advisor, as reported by Cointelegraph. Negotiations have intensified around a high‑stakes White House meeting with major banks, where stablecoin yield concessions may be exchanged for a federal framework, as reported by CryptoSlate. That framing suggests near‑term guidance on permissible rewards structures and custody obligations for bank‑linked stablecoin issuers. Industry sentiment has improved as policymakers publicly align on timelines and scope. Signals from senior figures indicate that both market‑structure rules and stablecoin statutes could move in tandem, reducing uncertainty for exchanges, broker‑dealers, and token issuers. At the time of this writing, Coinbase…
Filed under: News - @ February 10, 2026 2:21 am