A White House-hosted meeting between representatives from the crypto industry and the banking sector aimed at resolving differences over stablecoin provisions in a broader market structure bill was described as “productive,” though no agreement has yet been reached.
Ripple’s chief legal officer Stuart Alderoty, who attended the meeting, said in a Tuesday post on X that it was a “productive session” and suggested compromise was possible. “Clear, bipartisan momentum remains behind sensible crypto market structure legislation. We should move now — while the window is still open,” he wrote.
Lawmakers are seeking to pass legislation that would clarify how US regulators oversee the crypto market. The House approved a similar measure, the CLARITY Act, in July, but progress has stalled in the Senate Banking Committee, where bipartisan backing has fallen short.
Efforts to advance the bill lost momentum last month after Coinbase withdrew its support, objecting to provisions that would ban all yield payments linked to stablecoins. Banking groups have argued that allowing stablecoin holders to earn yield on third-party platforms, such as exchanges, could draw funds away from traditional bank deposits and pose risks to the broader financial system.
Calls for Further Discussions
Tuesday’s meeting marked the second White House session in two weeks bringing together banking and crypto stakeholders. A prior meeting on Feb. 2 was described by White House crypto adviser Patrick Witt as “constructive” and “fact-based.”
Dan Spuller, head of industry affairs at the Blockchain Association, said on X that the latest discussion was a smaller, more focused gathering centered on “serious problem-solving.”
“Stablecoin rewards were front and center,” Spuller wrote, adding that banks approached the talks with broad prohibitive principles rather than negotiating directly from the bill’s text — a divide that remains a central point of contention.
A document circulated by banking groups at the meeting reportedly outlined “yield and interest prohibition principles” that they believe should be incorporated into the Senate’s crypto legislation, reinforcing their call for a blanket ban on stablecoin yield payments.
Three major industry organizations — the American Bankers Association, the Bank Policy Institute and the Independent Community Bankers of America — said in a joint statement that further discussions would be necessary to advance the bill.
They emphasized that any regulatory framework “can and must embrace financial innovation without undermining safety and soundness, and without putting the bank deposits that fuel local lending and drive economic activity at risk.”
Meanwhile, BitGo CEO Mike Belshe argued that both sides should avoid reopening debates over the GENIUS Act, which already prohibits stablecoin issuers from paying yield directly, in order to move the broader market structure bill forward.
“That battle was fought. If you don’t like GENIUS, amend it,” Belshe said. “Market structure has nothing to do with yield on stablecoins and must not be delayed further.”
