Senate Draft Proposes Ban on Stablecoin Yield Payments

A revised Senate draft of the Digital Asset Market Clarity Act aims to prohibit yield payments for merely holding stablecoins, according to a source familiar with the current text. According to NS3.AI, the draft would still permit rewards linked to user activity, although industry participants have expressed concerns about the ambiguity between allowed activity rewards and deposit-like programs. This amendment is part of an initiative to advance the bill toward a Senate Banking Committee hearing, following stablecoin yield becoming a significant point of contention.