Coinbase chief legal officer Paul Grewal said US lawmakers are moving closer to advancing the Digital Asset Market Clarity Act, though disagreements over stablecoin yield continue to delay progress.
Speaking in a recent interview, Grewal said the bill could soon head to a markup hearing in the Senate Banking Committee if key issues are resolved, potentially paving the way for a full Senate vote.
Grewal said lawmakers are close to agreeing on the main structure of the bill, which aims to establish clear federal rules for digital asset markets.
“I think we’re very close to a deal,” he said, noting that most core elements have been largely settled.
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However, the legislation remains stalled due to ongoing debate over whether stablecoin issuers or platforms should be allowed to offer yield or rewards to users.
Stablecoin yield dispute remains central
The stablecoin yield problem has emerged as the primary obstacle which negotiators need to resolve.
US banks have argued that allowing such incentives could draw deposits away from traditional financial institutions and disrupt the banking system.
Grewal rejected those concerns, saying there is no clear evidence that stablecoin yields would lead to significant deposit outflows. The Senate Banking Committee requires a markup session which has been delayed because of the existing disagreement.
Political tensions add pressure
Donald Trump recently criticized banks for their resistance to certain parts of cryptocurrency legislation which he claimed the banks used to create delays about stablecoin regulation. The comments he made were timed to coincide with reports about his meetings with cryptocurrency industry leaders which showed how important digital asset regulation had become for political purposes.
The House of Representatives has already approved the legislation which includes the CLARITY Act that passed in July 2025. The Senate process has moved forward at a slower pace. The Senate Banking Committee which Tim Scott chairs has not yet scheduled a new date for its postponed markup session after it canceled the session earlier this year.
The delay has created uncertainty about regulations which has led to concerns from the industry.
Industry warns of risks from delays
Policy experts have warned that the failure to pass the bill will create future regulatory uncertainty which will affect the cryptocurrency industry.
The researchers maintain that digital asset regulations require specific legislation because current political conditions will determine how assets will be monitored.
The bill’s supporters claim it will establish permanent regulations by establishing rules which different agencies must follow to classify and control digital assets.
Broader push for crypto regulation
The US policymakers use the CLARITY Act to create their complete framework for digital assets.
Regulators have faced difficulties in implementing existing laws for crypto markets during the last few years which resulted in different enforcement methods and legal disputes throughout the industry.
The 2022 failure of major platforms like FTX created urgent demands from lawmakers to establish precise regulations regarding custody systems and trading methods and protection measures for investors.
Stablecoins usage and blockchain-based financial services have grown through this period which has forced regulators to develop solutions for new dangers that include keeping financial systems secure and maintaining anti-money laundering compliance.
The stablecoin yield debate demonstrates these wider problems because it shows how policymakers work to find a solution between innovative procedures and the need to maintain traditional financial systems.
The ongoing negotiations about the CLARITY Act will determine its results which will shape future cryptocurrency regulations in the United States by specifying how digital assets will function within the national financial system.
