CLARITY Act Stalls in Senate Banking, Stablecoin Debate Unresolved

The CLARITY Act has encountered delays in Senate Banking discussions, leaving the debate over stablecoin rewards unresolved. According to NS3.AI, the American Bankers Association (ABA) has expressed concerns that up to $6.6 trillion in deposits could be at risk. The White House Council of Economic Advisers has indicated that removing stablecoin yield could boost bank lending by approximately $2.1 billion, while also imposing a net welfare cost of $800 million.