Crypto companies are trying to overcome the Senate stalemate on the US crypto market structure bill by proposing concessions on stablecoin yields. The bill passed the House of Representatives, but banks oppose it, arguing that stablecoin issuers offering yields will drain money from traditional savings accounts. Anonymous sources speaking to Bloomberg indicate that crypto firms have offered new proposals giving community banks a bigger role, holding reserves in these banks, and issuing stablecoins through partnerships.
How Will Stablecoin Regulation Affect the BTC Market?
This bill could boost liquidity in major assets like BTC detailed analysis by accelerating stablecoin adoption. If the regulation clarifies, BTC futures trading volume could rise. Monday’s White House meeting ended in disagreement. Senate Banking Committee Chairman Tim Scott stated to Fox News that rewards are beneficial but cannot be advertised like banks. Emphasizing no deposit flight, he said the parties remain at the table and will make the US the crypto capital.
Senator Scott speaks on stablecoins. Source: Fox News
- Bill’s status: Passed the House of Representatives, advanced from the Senate Agriculture Committee.
- Required support: At least 7 Democratic votes and Banking Committee alignment.
- Crypto proposals: Reserve holding in community banks and partnerships.
US Stablecoin Bill Developments and Bank Reactions
The bill could increase confidence in BTC futures by strengthening stablecoin reserves. Banks are resisting due to fears of deposit loss, but Scott says negotiations continue.
Frequently Asked Questions About the Stablecoin Bill
When will the Senate approve it? Possible in spring 2026 with Democratic support.
Will stablecoin yields be banned? No, but bank-like advertising will be limited.
How will it affect BTC? Regulated stablecoins could boost BTC liquidity.
Source: https://en.coinotag.com/stablecoin-bill-in-the-senate-crypto-concessions
