The controversy surrounding the US cryptostructure bill's ban on stablecoin yields: Could it accelerate the flow of funds to a "synthetic dollar" and trigger capital flight?

PANews reported on January 24th, citing CoinTelegraph, that experts warn that proposed restrictions on stablecoin yields under the US Cryptostructure Act (CLARITY Act) could drive demand for offshore and synthetic dollar products as investors seek yields outside regulated markets. Under the already enacted GENIUS Act, payment-type stablecoins like USDC must be fully backed by cash or short-term US Treasury bonds and cannot directly pay interest, thus being considered "digital cash." Colin Butler, Head of Markets at Mega Matrix, stated that prohibiting compliant stablecoins from offering yields to holders would not protect the US financial system but would instead marginalize regulated institutions and accelerate capital migration outside regulatory boundaries. Currently, the digital yuan already has interest-bearing capabilities, and Singapore, Switzerland, and the UAE are advancing frameworks for interest-bearing digital assets. If the US bans yields on compliant dollar stablecoins, it could weaken global competitiveness.