What to know:
- CLARITY Act deal on stablecoin yields may finalize within 48 hours, says Grewal.
- A stablecoin yield dispute between banks and crypto firms remains a key hurdle.
- The Senate may delay draft release to avoid opposition ahead of the markup process.
Progress on the CLARITY Act could come within days. Coinbase Chief Legal Officer Paul Grewal said a deal on stablecoin yields may be reached by Friday, signaling renewed momentum on a key issue.
Grewal made this announcement during an interview with FOX Business. He claimed that an agreement would be reached in the next 48 hours. He also noted that lawmakers have to complete work on the bill after the earlier steps on cryptocurrency legislation.
Also Read: Institutional Crypto Adoption Surges as Franklin Templeton Expands
Market Structure Takes Center Stage in CLARITY Act Push
He cited the passing of the GENIUS Act as an important step forward. He noted that it is a watershed moment for the industry. Nevertheless, he emphasized that the CLARITY Act is more significant in terms of market structure.
The legislation will establish the roles of regulators. It will also establish how the SEC and CFTC will regulate digital assets. This is an important issue for both regulators and industry participants.
Grewal has also indicated that action could be taken soon by the Senate Banking Committee. Grewal anticipates that the process of markup will begin this month after lawmakers return from recess.
One major factor has been holding up progress so far. The issue has been stablecoin yields. Banks and crypto firms cannot seem to agree on whether users should receive rewards.
This has been causing delays in negotiations between the two parties. Crypto firms believe that users should receive rewards. Banks, on the other hand, have been expressing concerns.
The issue has been causing tension again, especially during recent negotiations. Last week, there was a resurgence in tensions during negotiations. Crypto firms, including Coinbase, objected to certain aspects of a revised draft.
CLARITY Act Talks Near Deal as Senate Adjusts Strategy
However, recent remarks suggest that the progress is now within reach. This was highlighted by Grewal’s statement that both sides are moving closer to a deal. This implies that the long period of disagreement is now close to being resolved.
On the other hand, the lawmakers are making some changes to the process. Reports indicate that the Senate may delay the release of the latest draft. This is intended to avoid resistance at an early stage before the markup process begins.
According to a source familiar with the process, timing is of the essence. The release of the draft at an early stage may allow the opponents to start the process of pushback. However, the lawmakers are making efforts to ensure the process remains on track.
During the recent days, the talks between the industry groups are ongoing. Earlier drafts received support from Senators Thom Tillis and Angela Alsobrooks. Nevertheless, the stakeholders are still making some changes to the process as the talks continue.
However, the market’s expectations are still uncertain despite the recent progress. According to Polymarket data, the chances of the bill being signed into law by Donald Trump this year are 57%.
Also Read: CLARITY Act Passage in 2026 Unlikely if Bill Misses April Deadline
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